The value of silver is in the real world 1/10 of the price of gold. The value of an ounce of Gold has for a few hundred years been eQual to the price of a nice taylored suit. So price a nice taylored suit and that is the real value of on once of gold and one ounce of silver is one tenth 1/10 of that in value. This is just a global standard that works even in the bush. Silver is 1 tenth of gold. I hope this helps.
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Yeah ..... well, we would not be looking at Billy and Co to fuck up the final 10% after they scooped up the first 90%. At the same time, largesse in war and welfare is not possible with a bi-metal financial system. That is why they killed it.
for you have to produce to make a profit. The system makes a profit, not without production, but on the back of production such, that every dollar of production carries a 192 dollar debt (derivatives) attached to it.
1:10 relationship:
https://www.investopedia.com/articles/investing/080316/historical-guide-goldsilver-ratio.asp
Roman Empire: 1:12 or there abouts. 1350: 9.4:1. This was in England during the Middle Ages. Interestingly, during that time period Middle Ages, especially during the first couple of hundred years: Byzantine solidus (gold) was highly regarded and Europe as a whole usually was on a silver payment system.
Here are some interesting figures regarding the prices of them days: https://thehistoryofengland.co.uk/resource/medieval-prices-and-wages/
There is an interesting little piece of information regarding electrum, a naturally occuring alloy of gold and silver:
https://learn.apmex.com/learning-guide/history/price-of-silver-today-and-throughout-history/
And here is a quick and dirty infographic:
https://www.gainesvillecoins.com/blog/history-of-silver
When looking at a graph on the relationship between gold and silver these last years, what is immediately apparent: the ratio has been pushed all the way up to 140: 1, and was as low as 68:1.
However:
This is all due to manipulation in the silver market. Remember, that as per 1-1-23 Gold has moved from being an old relic ( check Pickety' s economic ideas!) to a first tier asset. Meaning, Central banks and other financial institution can use this as a backstop to strengthen their equity position with the value of direct monetary competition with fiat currency, however, without counter party risk.
Deception!
For the anons not versed in financial shady business: When you go on to the market and want to sell something, you need to have the goods, right? Otherwise you cannot sell.
Well, you thought wrong. Certain banks and speculators can sell stuff without having the goods. Instead, they provide within their contracts a clause that says they are allowed to settle in fiat currency.
So, you are a buyer, and want to buy an ounce of gold. The bank now is not required to give you that once of gold. They can sell you an ounce, and settle for fiat currency. Say you were to buy an ounce at 1000 dollars. What ever the price will do, they have a right to give you back your fiat currency, more or less than a 1000 depending on what the price movement has been.
Clouding the mess they are in
Consider now, that the "market" is closed to you. You can only buy through accredited market participants. These players are all working in the same environment, we call it the COMEX SILO-ed Casino. In this Casino, these market players can write a contract. The object of the contract is NOT to buy gold or silver, or to sell gold or silver, but to keep the price at a level that is convenient for them.
As long as NO real gold or silver was exiting from that Casino, the house would win 90-95% of the time.
This has changed since 1-1-2023. It is called NSFR-compliance. It simply means that it is now possible to extract gold through the backdoor away from the Comex. It means that when the price is manipulated down, you can insist on being provided with Gold.
This is what Central Banks within the Brics, but also in the EU are doing. Interestingly, the BIS, the Bank of international Settlements, deleted all their put options (betting on a price decrease) right before 1-1-23.
This particular nicety of being able to extract real gold at a low price, now puts the casino under tremendous strain.
Unfortunately, while gold is a first tier asset and required to be NSFR-compliant, Silver contracts do not share such a nicety. Not yet. So, Silver is now carrying the brunt of market price manipulations.
Clouding the mess they are in II.
Technically, the FED and their goons are the only ones left in the Casino, and are caught wrong footed time and again. However, the question is: how much gold do they have?
When Germany wanted to repatriate 300 tons of gold, it took years to make that happen, and they were not allowed to inspect it. Why? Because there is none. Chances are that the gold in possession is burdened by other market participants laying claim to ownership due to hypothecation and rehypothecation. It is all a paper matter. Once entrusted to paper, you can move it from one place to the next, sell it to one player to the next, you can dilute its contents, or make it part of a different kind of package. It is all on paper, and the gold itself does not have to leave the premises.
So, where is it? No one knows.
650.
Halper came out about a half a year ago, mentioning that 650 plane loads of gold were retrieved from the Vatican. Q said that the gold was there, and it would destroy FED. u/#q2619
And Q is enticing us with the idea of a gold standard. u/#q3393
Market forces - 1.
We already talked about the market. You can imagine that when a product is readily available and outpaces the demand of the market, the price is decreasing. You can see it in a micro environment when you go to a food market. Of course, with perishables, the pressure to sell increases the more one reaches the final minutes of the market. Real bargains can then be had. Bargain-Hunters.
With gold and silver, well, they are not perishables. But there is another force we have to take into account. When you stack your silver or gold, it would not really cost you much or nothing at all. But in large quantities, it would cost you, as it needs security and a lot of room to stack. On top, a market participant may need to sell it' s gold or silver, because of leverage. Leverage here means: debt.
It is quite possible to buy gold or silver with debt. When the price rises, you sell it, landing you a profit. However, debt does not run for ages, but has a fixed period and interest. So, you need to sell gold or silver to service the debt, and or to extinguish the debt.
The reason debt is called leverage, is because the money in your pocket may not be enough to buy say, an ounce of gold. However, you find someone who is willing to provide you with financing so you can make that deal. Say you have a 1000 in your pocket. The financier is willing to give you another 1000. So, now you have 2000, and can buy that ounce.
Say that you can sell your ounce for 2100, and your interest payment is 10. What is your profit? 2100 (sell-price) -2000 (buy-price) = 100 (gross-profit) - 10 (interest costs) = 90 (net profit) . However, if you' d only had that 1000, you could only buy half an ounce, which would have landed you a profit of 50. This means that the debt acted as leverage to land you a bigger profit: 90 - 50 = 40.
The force exerted by the need to payoff debt, causes pressure to sell, identical in nature to the pressure on a food market with perishables.
Market Forces II.
We already talked about availability of a product in relation to the demand. Take a look at this table on the right hand side:
https://www.silverinstitute.org/silver-supply-demand/
It starts with supply, which means, the number of ounces being produced and available for sale. Column 2023F contains the number 1 billion ounces.
When you scroll down to the demand section: it says: 1.167 billion onces. Meaning, the market is short of 167 million ounces.
So, what happens when gasoline is in short supply? The price rises, no? But not so with Silver. At least not yet. But it does show you that supply and demand are out of whack. And the only way to solve this equation is, either:
Production can only increase if there is value in doing so. This means, the miners have to earn more in relation to the costs they have. They also have to make a profit. Since this is not the case, production cannot increase.
Lowering demand is possible, but ... then you would have to scrap the green new deal. The deal revolves around silver as a central commodity. And, silver is used in a lot of electronic equipment. Lowering industrial demand, which outpaces human demand, is not an option.
That leaves a higher price. A higher price will immediately impact the new green deal as way too expensive. But it would also be replaced by human demand in terms of stacking and use of silver as money.
Political
Now you see why the silver price rigging is a political scheme to push through a "solution" that is no solution at all. And it is the reason why the WEF and their ideas are incoming.
Very nice in-depth write-up! Not that I need more confirmation that God's money is the right path to financial freedom, but more context and talking points never hurt when conversing with other people.
My only addition to the historical piece would be: the Crime of 1873 and the Cabal plan to move us off the bimetallic system, which would then be able to usher in the creation of the Federal Reserve, ultimately.
https://www.micheloud.com/fxm/MH/index.htm
Great analysis, appreciate all the effort. Currently I own a small amount of DOLLF, Dolly Varden Silver Corp. Do you have any suggestions for alternatives? I’d like to get more involved with silver. Thanks.
Good to have miners indeed. Better to have the real deal in a for you safe yet accessible place.
Yes that’s what I’m going to do.
All of my junior miners that I picked have been getting shellacked over the last two years, and even my majors, as well - I really think economic pressure is hitting their bottom line hard. Granted, they probably were bad picks on the roulette wheel, but I'd prefer just buying the real deal instead, now lol.
I’ll have to research buying and storing silver.
I would recommend a combination of buying at local coin shops nearest you as well as online dealers, to get the best of both worlds. Super easy to buy online - I would opt for upgraded shipping (especially for large purchases) with signature delivery, to help safeguard against any incidents.
Ok, thanks!
These are the numbers traditionally used but I don't think they apply anymore. Silver is more abundant than gold, but silver is heavily used in electronics today and the way it's used makes it expensive to reclaim. I think the larger demand today is reason enough to increase the value of silver in these traditional formulas. I can't wait to learn what both are really worth when all of their manipulations are removed.
I'll leave this post up, but if you can put some kind of supporting source here, that would make this post more useful.
A nice suit tailored for today might be 3 to 6 thousand dollars. So an ounce of silver should be from 300 to 600 dollars. If this was the real world
Does anyone else remember when Donald Trump (circa 2015? 2017?) said that silver is the most under-rated precious metal out there? Remember when he said silver is 25000% price suppressed? (no I don't have sauce, he said it on tv during a presser)
Silver is "worth" thousands, not hundreds.
Does anyone watch Bix Weir (Road to Roota)? Showing the periodic table of endangered elements and silver (AG) is the most endangered element, next in line for extinction? Gold doesn't even make the list. There IS sauce for that.
https://www.compoundchem.com/2015/08/19/endangered-elements/
Silver is more rare than gold. When the suppressing mechanisms are released, silver is going to be the gold-standard.
Sauce on this would be most delicious - I saw you post this in a metal thread yesterday.
I do know that Trump is big on gold historically, so that should be a huge clue - taking rent payment from APMEX in gold bars on a NY property he rented to them. And, much of his real estate is furnished/accented in "gold", as that's a big part of the styling he chose for his buildings. I'm sure 98% of it is brass, but brass needs to be polished too, so there's a cost to choosing to maintain that kind of look, which is purposeful, IMO.
then the price of silver is way out of whack. It is one HUNDRETH the price of gold, or ten times too little.
Isnt the tailored suit valuation thing a Kirk Elliot routine?
also global production ratios are about 10 to one.
I think it is closer 8 to 1 ratio. Which means silver should be around $250 / ounce.
JP Morgan has been manipulating the price of silver for many years.
For instance. they buy up a million ounces, this limits market availability, which in turn sends the price of silver up. Once the price rises, they sell the million ounces at the high price and make a profit.
Then, with the extra million ounces of silver on the market, the price falls and they buy another million ounces at the low price, rinse and repeat.
But guess what, Jamie Dimon paid millions to some child trafficking victims, essentially admitting guilt. Also, Epstein's bank was JP Morgan and they knew he was trafficking children. Trump's EO confiscates the assets of anyone institutions committing crimes against humanity. Which means, JP Morgan will soon be liquidated, and afterwards the price of silver is going to soar back to an 8 to 1 ratio of gold.
If Trump is taking us back to a currency backed by precious metals, I think Trump would prefer silver be at its legit value. Keep stacking silver folks!!