Thursday, March 25, 2010

Opportunities Available With Gold Investments And Silver Investing

There is a driving movement for individuals to search out new ways to invest money and notice investments that supply long term solutions to individuals. The housing market was once thought-about one of those sturdy investments but following the collapse of the economy most individuals lost their assets investments, owing a lot of money than this worth of the property.

The stock market represents another investment chance that was once considered a sturdy opportunity however it too was affected in a very similar method to the housing market as a result of the economy. The matter with people finding new ways to invest their cash into a safe market is that many of the markets that were once thought of the safest investments have produced catastrophic results for several of the preexisting investors.

When it comes to what investing opportunities exist nowadays there's a dialogue with regard to whether the simplest investment is found in stocks or in precious metals. Stocks were considered a good investment before the economic fall and are thought of a smart investment once again as stock values are incredibly low and on the rise. The problem with stock is that they are valued within the American dollar and there's a fear with reference to the declining worth of the dollar for another economic loss.

Precious metals like gold investments and silver investing are historically known for their stable pricing. The values of gold investments and silver investing are forever on a unbroken rise and these physical commodities are accepting currencies in any country and will be exchanged for any other foreign exchange. In addition to their price another profit of gold investments and silver investing is that they are thought of inflation proof, lending credence to their worth as steadily rising investments.

With this information in hand it's clear to determine why there is such a drive to realize the commodities of gold investments and silver investing. All jewellery companies are not buying gold currently to create new jewellery however to secure the monetary security of their firms whereas people are trying to sell. The problem is that not several individuals perceive the values and qualities connected to gold investments and silver investing. This can be why it's essential to search out a company that can supply you the support and education you would like to trade in the gold investments and silver investing market.

Thursday, March 4, 2010

All I Really Need To Know About Money, I Learned From A Silver Dime

I was born in 1964. That was the last year that the USA coined real money for general circulation. Now imagine that you have two dimes in front of you, one of them is from 1964, one of them much younger. But the 1964 coin looks young, barely worn. That’s because those coins went out of circulation starting in 1965. People held on to them. The metal was worth more than 10 cents.

Look carefully at the two dimes. It’s easy to tell the difference between real silver money and the metal tokens that we use today. The silver coin is brighter. Its luster is almost creamy. The metal token has a harsh sheen and is not lustrous, as if the shine is painted on. Nicks and scratches stand out in stark relief to the hard shiny surface of the metal token, not so on the silver investing coin. Topple the coins over on a granite or tile surface. The metal token makes a dull sound, the silver coin rings.



Our monetary system today is in an advanced state of decay. If actions are taken during the next few years to re-establish a link between gold and the dollar, then the price of gold will stabilize somewhere between 5 and 10 thousand dollars per ounce. If not, any price is possible. Under most scenarios, the price of silver will likely reach better than 1/2 the price of gold before declining. I wrote an article about this a few years ago [link1 link2]. Today the price of silver is 1/65th the price of gold. I expect a long-term average price ratio between gold and silver to go back to its historical (in ground / constitutionally mandated) average of between 1/10th and 1/20th the price of gold.



This means that there is a tremendous opportunity in silver.



The bottom line is that our currency system is corrupt and rewards bankers at the expense of productive people. We are within a few years of the end of this system. We will see massive reduction of debt that can no longer be serviced. The fiat currencies (currencies by government degree) that we use today will be repudiated. Real money will once again arise. It is instructive to think in terms of the historical value of gold and silver in ages when there was no other money:



The Roman denarius contained about 3 grams of silver (the pre 1965 silver dime contains 2.2 grams of silver). The denarius was about 1 day’s pay for a craftsman. Think of it as the equivalent of $300 today. That’s about $100 per gram or $3000 per ounce. The ratio of the price of silver to gold in ancient times was 1/10th. That means gold was the equivalent of $30,000 per ounce. This sort of gold to silver ratio and gold price was also the case in Renaissance Italy, 1500 years later. However, since that time, debt based money has evolved and the value of gold and silver has gone down, down, down, until now.



We are living in a time of historic change that has been 500 years in the making. There are tremendous opportunities. You will profit a great deal if you think deeply about this, study it and take action. Everything you need to know is waiting for you on the Internet.