What metals do you think offer the best investment value today ???
October 23, 2010 by
Filed under Silver Investment FAQ
Personally I like silver . . . I just want to know what other folks think.
Thanks Dr. Jim. Already own SLV, SSRI, and SLW.
There’s a little bit of a “anxiety premium” on gold. Because of the economy, many experts are saying that gold will go down towards the end of the year. Personally, i think its too early to tell.
stainless steel and aluminuim
a complex question I have to take it from ground(bottom)
metals are traded in commodity market.
commodities are meant for trading (precisely speculation) and not suitable for investment or holding.
commodities cycle gets affected because it is renewable in nature – it get affected based on supply and demand – when supply is scarce prices rule high and greedy park it and artificially boost the price and release the stock when supply eases and again greedy releases the stock to out beat real supply and bring down the prices and again corner the stock.
this is extremely dangerours for small investors. take the example of Crude Oil, Gold, Silver ( sll have higher liquitity) they are seasonal – if the price rule high production will be increased which will bring down the price. Commodities affects public, and contribute to inflation, there will be Governments control, intervention will be there to disciple the market prices.
it is not the case with stock (equity) market – manipulation is not possible beyound certain extent. there also greedy people are there. If XYZ company have floated paid-up equity shares say 3 trillion at the face value one US dollar, sufddenly they cannot increase the floating shares from 3 trillion to 6 trillion because there is a good demand and ruling stock price is high.
all these tradings are riskier – but – among this stock (equity) market is slightly safer.
commodities are for speculation and not for investment
Look at palladium – there has recently been a huge find in Montana so there shouldn’t be any geopolitical issues. Its main use is in catalytic converters, but it is also necessary in electronics and dentistry! Interest is growing in this metal and if you wanted to invest you could do via mining stocks or a suitable exchange traded fund which included palladium.
With regard to silver, like gold it is reaching new highs and I would look for signs of a reversal later this year.
As a gauge of market sentiment about precious metals such as gold and silver take a look at the Commitment of Traders report (COT) which is released each Friday by the CFTC (link below). The short form futures data should be sufficient to get an idea of how the professional money is playing this market.
Silver. It is easy to obtain and sell, plus historically, it always outperforms gold. You can buy and sell silver bars and bullion at your local coin store. If you have a Roth IRA, buy SLV.