To start off this year’s SilverFest, David Morgan "The Silver Guru" gave a state of the silver market address.
He talked about what’s happened, where things stand now, and what to expect going forward.
The top three official mints sold a great deal of retail silver bullion products in the first half of 2020. However, the sales figure could have been a great deal higher if the various government mints weren’t forced to shut down production. The top three official mints in retail silver bullion sales are the U.S. Mint, Royal Canadian Mint, and the Perth Mint.
According to the data from the 2020 World Silver Survey, for last year’s figures, the Royal Canadian Mint sold 25.8…
As we enter this exciting bull market for precious metals, we are sharing with you, various viewpoints from industry pros on why we like silver. Interestingly enough, everyone has different reasons as it’s a very versatile metal, wanted for both its industrial applications and for its monetary thesis in turbulent times.
In ancient Sumer, roughly 5,000 years ago, silver was a unit of account, a medium of exchange for large purchases, and a store of value. Silver has been used as money in countless civilizations ever since. Because silver is durable and valuable very little gets lost. More than 90% of all silver ever mined is still above ground.
On Monday, the dollar rose from 1.16 grams silver, to 1.26g.
Conventional monetary thinkers believe that the dollar can be measured either in terms of the euro, pound, yuan, etc. Or in terms of consumer prices.
But these are not units of measure.
And that’s because consumer prices are subject to huge forces pushing them both up (rising costs of compliance) and down (falling interest rates, and rising efficiency).
Using consumer prices to…
In my newest update, I explain that the silver price trend for the next quarter will depend on what happens over the next 7-10 days. If the U.S. Government comes out with a new stimulus plan, then we are going to see higher silver and gold prices. However, if there isn’t a new bill put forth, we could see a short-term correction in the precious metals and broader markets.
In today’s update, I discuss where the silver price may be heading over the next few weeks. Of course, this is only a short-term horizon, but if individuals are going to watch Kitco.com or other silver price quotes every day, then it essential to know what the technicals are showing. How the silver price trades over the next two weeks will depend on the broader markets and U.S. Dollar Index.
This Week in Review: Metals prices continue to consolidate but should the price of gold drop below the 50day MA, there is a chance we see a larger correction, potentially testing $1,825-$1,850/oz. Regardless of whether this comes to fruition, it doesn’t change a thing except for providing another (and likely last) buying opportunity. The window is closing quickly to get into the mining stocks at these cheap valuations. Further, any correction in gold and gold stocks will be short-lived so it is…
With another week of consolidation in the books, it is looking increasingly likely we will see a break soon. Whether this is to the upside or downside remains to be seen. If it is to the downside, it will be short-lived and could present the last opportunity before the train really leaves the station. Beyond the very-short term, precious metal prices are headed higher, much higher.
The silver miners were quick to restart operations once the lockdowns passed, and are ramping outputs back to full-speed. That should lower costs, which along with much-higher silver prices should greatly amplify profits going forward. So big additional silver-stock gains are fully justified fundamentally. This sector just has to work off its overboughtness first, through a healthy sentiment-rebalancing correction.
The volatility continued in the metals again this week, something that we shouldn’t expect to change anytime soon. There wasn’t much news-flow this week, following earnings season. There are talks about the next stimulus package that could be announced at any time, though it will be just be stop-gap until the two sides can come to an agreement on what will inevitably be a larger stimulus package. This is where the upcoming US elections come into play (note: I'm not political).