Interview with Ted Butler – Silver Could Explode
SILVER COULD EXPLODE …. The CFTC investigation
[quote] When I first uncovered the data in this report, a little more than a month ago, I couldn’t believe my eyes. I had studied the data in previous Bank Participation Reports for years, but that’s because I’m a silver data junkie. This is usually a nothing report. In all the years I studied this data, it seemed like a waste of time. It was an obscure report that I never heard anyone ever refer to before. But the data in the August report was so disturbing that, in order to make sure I wasn’t imagining things, I asked two trusted associates, Izzy Friedman and Carl Loeb, to review the data with no advance suggestion from me as to its meaning. I wanted their unvarnished opinion.[/quote]
Yes, it certainly could. And I wouldn’t be sad if it did because I own some physical silver.
But, the more I read about how precious metals will perform over the next few years the more I realize that no one really has a clue. Of course the gold and silver bugs say PMs will skyrocket whether we have deflation or inflation. That’s what they’re expected to say. Many others, however, are far less sanguine about the performance of PMs if we experience true deflation. They claim silver will get hit especially hard, because of its current status as a commodity and not as money. Gold will do better than silver, because it has some monetary association, but will not perform well overall. So they say.
It’s never been easy to predict the market, and it’s not for lack of trying. It seems harder than ever now with the complexity of our current circumstances and the many wildcard variables that no one can predict (war with iran, rapidity of oil depletion, climate change, etc.).
I do know that I’m not planning to sell my silver for a loss right now. 🙂
I do know that I’m not planning to sell my silver for a loss right now. 🙂
I would not sell now either, even on ebay where I could make a little $$ … because, then what would I buy?
Another column you may like … BERNANKE’S PIG
And also … THE T-BONE STEAK INDEX … as a possible gold value reference.
Deflation means a strong dollar and a contination of the dollar reserve for every country in the world. There isn’t a chance in hell that will happen. The US government is hopelessly in debt with a bureaucratic establishment committed to reckless spending and being led by academics with degrees in Keynesian economics. In all history, every nation that took this road didn’t stop inflating until they destroyed their country and its currency. These retards are following the same script.
Stay with the fundamentals and be patient. If you own PM, be glad you saw this early before the maddening crowd heads for the exits. It’s not a case of silver-could-explode; it’s a matter of when and at what rate.
Jesse Livermore was a product of the early twentieth century, the Warren Buffet of his time. If ever you have doubts about silver and gold, remember Jesse’s words.
And right here let me say one thing: After spending many
years in Wall Street and after making and losing millions of
dollars I want to tell you this: It never was my thinking that
made the big money for me. It always was my sitting. Got that?
My sitting tight! It is no trick at all to be right on the
market. You always find lots of early bulls in bull markets and
early bears in bear markets. I’ve known many men who were right
at exactly the right time, and began buying or selling stocks
when prices were at the very level, which should show the
greatest profit. And their experience invariably matched mine —
that is, they made no real money out of it. Men who can both be
right and sit tight are uncommon. I found it one of the hardest
things to learn. But it is only after a stock operator has
firmly grasped this that he can make big money. It is literally
true that millions come easier to a trader after he knows how to
trade than hundreds did in the days of his ignorance.
The reason is that a man may see straight and clearly and
yet become impatient or doubtful when the market takes its time
about doing as he figured it must do. That is why so many men in
Wall Street, who are not at all in the sucker class, not even in
the third grade, nevertheless lose money. The market does not
beat them. They beat themselves, because though they have brains
they cannot sit tight.
Jesse Livermore comment is taken out of context – he was not speaking about silver.He was not in the same class a Warren Buffet, not even fit to be Buffet’s broker. Why the hype? Looking to replace Jim Crammer?
Silver is in a down trend, and has further to fall to complete the cycle. Be patient, we will see in the $8 range very soon, with a bottom measured close to $6-7 range, before it is finished.
Silver is treated as an industrial metal by most of the Worlds buyers, not a currency, as such it falls with deflation along with any other commodities. During 1929 crash, silver fell just as hard and nearly as long, bottoming in Dec 1932. Rising copper is the sign that bottom has been reached and is turning up.
Take a deep breath, and avoid getting scarred or panicked into buying bullion. Sell stocks on the rallies and buy bullion on the deep dips.
Jesse Livermore comment is taken out of context – he was not speaking about silver
That quote from Livermore is a universial axiom for any successful long term invester. In fact, that strategy was basic to Buffet’s succes. Which is to say he bought companies that were underpriced and held them for the long term without concern for short term price movements.
I see too that you know next to nothing about silver. Silver was a monetary metal long before gold. It goes as far back as bibiblical days when gold was an ornamental metal. The shekel mentioned in the Bible was a unit of silver. The British pound sterling was based on silver. It was a monetary metal in the US until 1968.
That silver is a monetary metal AND an industrial metal gives it an advantage over gold in that practically all the gold ever mined is in usable form. The above-ground supplies of silver have been consumed to the degree that there is now about 1/5 the supply of gold. Silver is now considerably more rare than gold, and in my opinion has the potential to be more valuable than gold until supplies catch up.
I was out of stocks and starting to accummulate silver since 2001. These low prices are a gift. Silver is practically sold out the retail level, because so many know it is underpriced. At these prices, I’ll keep buying if I have to buy numismatic coins.
Another way to get a sense of how cheap silver is. Back in the 70s before it spiked at $50, silver was selling for $5 an ounce. The price today is hardly above what it was in the 70s. Heavy manipulation kept it low for all these decades, but that is about to end soon.
If I was a stock holder in Berkshire Hathaway, I would have sold out by now. Livermore went broke many times and Buffet is making the mistakes Livermore made.
It’s a fascinating book. http://www.nowandfutures.com/large/Reminiscences_of_a_Stock_Operator_Jesse_Livermore.pdf
Hi, I’m new on here. Love the site and the comments so far.There’s no doubt that sliver is about to make its spectacular move, it is just a matter of when. When experts like Butler advize to make your move with no delay, I listen. It is very vogue right now among purists to sell up (including your house), buy silver as much silver as possible, then ride out the storm and then when property is at an all time low, sweep in and make a mint. Is this wise? Is this a crazy, fear driven or greed stunt that is way too risky? Or will this be the last opportunity that the middle class will have to protect their savings through confiscation by inflation and be positioned to gain more in the long run? Butler also mentioned recently that we will see a great wealth transfer in our lifetime and the asset that will help get us there is tangible silver and ultimately gold.
I’m in the gold business and know that silver is the one to watch right now.
John, I agree with you. It is so cheap right now and I wish I had a wack of money just to buy more of it at this price and while it is still available to the masses.
hewittr – are you a trader? Were you in silver during the 1970s? Or what do you do that makes you an silver expert, apart from buying some in 2001?
Can you share your silver charts showing where price is going? Is silver going up? When, and to how high?