Archive

Archive for June, 2011

STIH: Buy Silver in the Low 30’s

STIH: Stupid Things I’ve Heard

Over on King World News (KWN) Peter Schiff discusses the Greek debt crisis and how it foreshadows the coming crisis in the United States.

Schiff predicts that silver will rise to $200 per ounce – something which I agree with here and here.

Then, he says something stupid. Schiff says that silver is a good buy in the low 30’s per ounce. OK, hard to disagree with him, but it’s still a stupid thing to say. Heck, silver was a screaming buy at $13.00 an ounce, or $5.00 per ounce. It would be a great buy at $1.00 per ounce.

Remember, Schiff predicts silver will go to $200 per ounce. So, silver is a good buy at $25, $30, $50, and practically all the way up to $200. So, why the low 30’s? Who knows.

I agree with Schiff that silver will rise to $200 per ounce. I base this on the current economic situation, government debt, lack of political will to resolve the debt/deficit situation, FED money printing and a host of other circumstances. 

However, it’s simply stupid to say that silver is a good buy in the lower 30’s. Silver is a good buy at today’s price of around $36.00 per ounce. It was a better buy when it fell from near $50.00 to the lower 30’s, and it will be a fantastic buy in the 40’s, 50’s, 60’s, 70’s, 80’s, 90’s and up.

Don’t wait for silver prices to fall. Don’t try to time the market. Have a monthly investment plan and follow it. If you believe that our economy is fundamentally flawed, that fiat money will continue to decline in value, and that government will continue to do the wrong thing, then you should be looking to hedge against a decline in the dollar – whether that is silver, gold, or something else. 

Experts throw around lots of numbers and make lots of important sounding predictions. Go ahead and listen to experts, but then use your own judgment. Remember, experts are wrong  as often, or more often, than they are right. Sure, experts say some smart things, but they also say lots of stupid things too.
Categories: Uncategorized