to the editor from this week's Chronicle
No. 330 - 8/22/2021
Wow! My wish here is that RNR #329 had not closed with "More to come on these topics in days to come!" Prior to that statement a claim was made that INSANE things were happening in this "land of the free and the fortunate and the prosperous!" The border chaos, new mask mandates for children, more monthly handouts for families with children, you name it... if not mentioned last week, then it was the intention here to mention more of the similar kind this week!
But a different issue has popped to the front in the past week, and suggests a comment or two on it! Everyone knows the elevated prices that have been placed on land and on homes during this past year. It was brought to my attention that those elevated prices have been paid with CASH in many cases, both locally and in places like Boise and other cities. And even locally it is clearly visible how many new homes and repairs to old ones can be seen all around us! Using record costs of building materials, though now we are told that those same materials have settled back more towards the normal.
It makes a person believe that the constant claim that people who have made fortunes or close to it on the stock market, fueled by government and FED trillions of dollars, are getting nervous and looking for places to put their accumulated fortunes. It makes sense, since land and homes still have a certain use and value even when the inflated dollar sinks to new lows.
With this in mind, the following is submitted verbatim from an article written by Peter Krauth, and found in Investment Rarities mid August MARKET UPDATE. Submitted here because a proven way to preserve wealth in the face of a potential market collapse or a runaway type of inflation is investments in metals like gold and silver! And we quote:
"Over the past fifty hears, silver has twice flirted with the $50 level. And despite 41 years since silver's first peak at $50 in 1980, it is still currently 50% below that all time nominal high. It is incredible that after so long and so much fiat money printing that silver is still so cheap. (Spot price today as this is printed is $23.74!) On a relative basis, silver needs to triple just to keep up with gold's gains of the past 50 years.
"If we use the Silver/S&P 500 ratio of January 1980, and apply it to today, we get an astounding number. At a ratio of 0.445, with the S&P at 4,400, we get a silver price of $1,958 per ounce! This is even above the current gold price! I'm not suggesting that silver is going there, but hey, weirder things have happened. Besides, the S&P 500 could drop, and I think likely will. Let's say it falls by 50% to 2,200. That would still imply a silver price of $975, a long way from $24..
"It's astounding to see the price of other metals in 1980. Most have at least doubled, many have tripled, and some are up 10x and even 20x. But silver is the only one that is today below a 1980 high. In fact, at today's price, silver is still 50% below its 1980 peak, without counting inflation! That is senseless! If you calculate silver's drop from the $50 peak adjusted for inflation at $174, then silver is down 85%. As part of my ongoing research, I follow a lot of assets, I honestly can not think of one easily investable sector as cheap as silver is today. And that makes silver very exciting as we look forward!"
(Careful research will tell you that big bank manipulative shorting is a primary cause of silver's suppressed price! - Call Bill Collins at Investment Rarities for info on what is happening and for a proven secure source of silver and gold! 651-216-2494)