Silver is a promising metal.
Silver is that kind of precious metals which is continuously consumed. It is used for the production of computers, mobile phones and other sophisticated stuff. Such countries as India, China, Vietnam and Eastern Europe constantly increase the volumes of their production. This means that the demand for silver will gradually increase in the world. Silver is also used in medicine. In particular, it has the quality to kill any kind of infection and it is also used for the production of medical equipment.
Silver is considered to be a sort of deficit, compared with gold. Gold is being accumulated in most cases. Experts estimate that about 95% of the total amount of gold ever mined in the world of gold is now available. And ass for silver situation is quite opposite. About 95% of mined silver in the world has already been spent, about 45% of mined silver disappears in industrial production as usual, 28% is used by the jewelry industry and 20% is also used in photography. And only 5% of mined silver is stored in bullion.
So to cut along story short I can say that the proposal of silver decreases. In 1900 the world had about 12 billion ounces of silver. In 1990 there were only 2.2 billion ounces. By 2007, reserves fell to just 300 million ounces. In the most pessimistic forecasts, for a period of 10 years silver reserves are going to disappear in the world. This can lead to a catastrophe for the world economy from my point of view. After 10 years, silver is going to have the same effect on the world economy as oil at 200 dollars per barrel.
Now let’s answer a question if silver is a safe harbor for our investments? As a precious metal, silver is also an international currency. Gradually, people will get used to the fact that paper money haven’t got an essential value and investments in real estate is a risky thing and the stock market fluctuates too much. In this situation, silver can be an excellent safe harbor for savings. If volumes of industrial production and the financial panic keep on growing, the price of silver won’t stand still. For example between 1979 and 1980 silver was worth 48$ per ounce. Certainly you can compare this price with the contemporary one. Although I like real estate for making my investments but I still believe that the best opportunity to invest money today is certainly silver. It goes without saying that I can’t make you invest into what I like best. But I think it’s my duty to give you some obvious information concerning this outstanding precious metal. Don’t forget that silver is supposed to be a protective metal against some evil supernatural forces if you wish to believe in this certainly.
Today during recession lots of people resort to selling their gold to get some cash. Nothing new in the cash for gold model. But you can be losing big money when getting cash for gold if you work with the “middle men” on this market.
So, if you are seriously interested to get nice cash for gold, then visit this website for more details.
Filed under Investing by on Dec 22nd, 2009. 
Silver is a promising thing.
There are such precious metals like gold and silver which don’t lose their value. Investments in these metals are stable in any time. It takes a little space to store and transport these metals. The cost of these two metals d is always growing during the economic troubles.
Silver in coins is sold at prices exceeding the market value of the metal because coins often have a definite artistic value. When silver reserves run out, industrial enterprises will have to raise the price on it at times in order to encourage private owners of silver to sell it. As the result of this the price of silver would rise high enough to trigger massive sales of the metal. Don’t forget that the development of many high tech industries is dependent on silver.
Historically it happened that the price of gold and silver were similar as for their land stocks. For example, in the days when Jesus Christ lived on the Earth, the ratio of prices of gold and silver in Rome was 1 to 12.6, while in Jerusalem 1 to 4.7. Spain at that time was rich in silver mines, and in Asia rich deposits of gold could be found. In our time, the relative prices of two metals are the same all over the world thanks to the development of vehicles. Therefore, to determine the proper relation between the prices of gold and silver one need to calculate the total amount of land reserves for these metals. According to various studies, there are 5 billion ounces of gold against 5 billion of the same ounces of silver, which means that if the price of gold is relative to the price of silver it should be at least 1 to 1 instead of 1 to 50, as now.
In medieval Europe, the ratio of prices of gold and silver was usually 1 to 16 and this is logical, because it was recognized that the Earth’s crust contained 16 times more silver than gold in all its layers. According to the official figures, the annual production of silver for the last decade has reached up to 20 thousand tons or 600 million ounces, far surpassing the annual extraction of gold in 8 times. And besides this you should add to this the fact that according to several investigations and calculations carried out by different organizations over the past 5000 years about 5 billion ounces of gold and 45 billion ounces of silver were produced and the largest part of them was produced over the past half of the century.
If you looking forward to securing your capital for a rainy day then it’s advisable for you to invest in such a promising precious metal as silver and you won’t be disappointed.
At this moment gold attractiveness is on the upwards trend. People who want to get cash for gold are creating a unique chance on the market.
If you are one of those who plan to rise up some cash for gold, then please make sure that you know the usual traps of the cash for gold.
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Filed under Investing by on Dec 16th, 2009.