SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : Effective Collaboration - Team Research for Better Returns: -- Ignore unavailable to you. Want to Upgrade?


To: The Ox who wrote (5405)12/13/2017 11:26:37 AM
From: The Ox  Read Replies (1) | Respond to of 8239
 
From July 2017:

lombardiletter.com
Silver Investing 2018 Promises to Be Genesis of a Glorious Run; Here’s WhyIt must be tough being a silver bull. In the last three years, silver has been stuck between $14.00-$21.00/oz, trapped in a range, whereas stocks have broken out. It’s been the quintessential “dead money” trade by all accounts. Undoubtedly, even die-hard precious metal investors have contemplated throwing in the towel. But optimism is on the horizon (no, seriously). Silver investing 2018 may not yield immediate results, but it will be the time to accumulate for the spectacular results which should follow thereafter.

Also Read:

Precious Metal Analysis: Keep Gold and Silver on Your Radar in 2017

The focus of this piece is not to rehash what you already know. Silver investors already know that supply will be in deficit for the first time in 12 years. Silver investors already know COMEX inventories are at their lowest levels ever. Silver investors already know prices can’t deteriorate too much further before miners start paring back supply, crimping stocks even further. All of these factors are indeed bullish, but they’ve also failed to carry price momentum higher. These are helpful supporting factors, but not difference makers.

The key to silver price 2018 and beyond is what lies ahead. What is that killer catalyst that can drive prices through the $21.00/oz ceiling once and for all? In my estimation, it will be when the market value reflects both silver’s precious metal and industrial growth properties. When will that happen? Right as the U.S. (and the world economy) emerges from recession.

The reason for this is twofold. First, industrial demand would have hit a low point. There’s only one way for demand to move once the cyclical growth bottom is in place. And rising industrial demand will be a multiyear trend. Demand for solar panels and other silver-intensive technologies will only continue to expand as time wears on. When deflated commodity prices meet continuous rising demand, good things tend to happen.

Second, the expected credit boom hangover, which will be exposed by the next recession, will be intense. In fact, it will probably be historic. Stock markets will crater and investors will look to precious metals to shield their wealth. The Federal Reserve will likely introduce immense (record-breaking) stimulus programs to try and stabilize the economy. When the coming chaos and financial debasement hits, silver will be appreciated once again for its precious metal qualities. (more at the above link...)