Silver on a Run

Hi Friends,

Perhaps you have seen the recent runs in gold and silver, but, in case you haven’t, I wanted to do a quick recap for you.

Silver has been running and is up to $18.30 per troy ounce, while gold has also been strong, currently at $1,550 per ounce. Investors pay close attention to the gold silver ratio, which has a 30 year average of 67 ounces of silver to one ounce of gold. With the recent run in gold, and silver lagging, the ratio got as high as the mid 90s. While there is no guarantee that the ratio will be relevant in the future, it is a indicator that the “poor man’s gold” (personally, I like “aggressive metal investor” better) was ready for a run, and it certainly has done that, climbing 12%+ in August already, hitting a two year high, and brining the gold to silver ratio down to 85.

While there are no guarantees, gold and silver look to be headed higher due to geopolitical issues, demand increases, increased mining costs and global currency crisis which are looming in this era of low (sometimes negative) interest rates and rising sovereign debt loads.

Hope you all are loaded up!

I am glad you came by today,

Brian