If you bought silver to protect yourself against the inflation that is not happening, you have taken a major loss.
Silver at its peak in 2011 was at $48.70. Today, it is at $23.30.
Gold at its peak in 2011 was $1,895. Today, it is at $1,387. That is down 27%.
Silver bulls never warn their followers of how terrifyingly volatile silver is. They tell them that silver is the poor man’s gold. I tell people that it’s better by far to buy the rich man’s gold: gold. The reason why silver is the poor man’s gold is because silver investors lose so much money.
I wrote about this in 2006. I will continue to write about it.
Silver bulls are busy trying to explain away what happens every time the precious metals suffer a hit: silver falls twice as much as gold does.
It’s OK to have 20% of your precious metals money in silver. In times like this, it’s a bargain . . . if you can find “junk” silver coins at the cash price, meaning no premium for coins. If you buy silver coins after one of silver’s smash-ups, you will do well when it comes back. But people buy silver at the top, and then they get smashed.
If you think the precious metals have bottomed, silver eagle coins are a good speculation today — better than gold eagles. That’s because so many naive people were sucked in by the silver bulls. You can make a profit at their expense.