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There
may never be a better time for
buying silver bullion than right
now. World demand for
silver now exceeds annual
production, and has every year
since 1990. Above ground
stockpiles of silver bullion are
low, shrinking rapidly and
approaching zero. Since the end
of WWII, for example, the
U.S.
government - once the largest
stockpile of silver on the
planet - has dumped billions and
billions of ounces of silver
bars onto the world market,
effectively depressing silver
prices. Today, that government
silver hoard is gone. And now
the
U.S.
government is a silver buyer.
For these reasons, silver bars
represent an outstanding
investment opportunity.
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Precious
Metals Have Been a Solid
Hedge Against A
Declining U.S. Dollar.
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The
value of the U.S. Dollar
declined more than 30% from 2001
through 2004, plunging 5% in
just a few weeks. For a long
list of reasons, including
massive increases in
U.S.
government deficits totaling
trillions of dollars, the cost
of a prolonged war against
terrorism and a massive trade
imbalance, this trend may be
just the beginning. This means
U.S. Dollars could now be worth
less and less every day. That
means all investments pegged to
the U.S. Dollar would become
worth less and less every day.
Gold,
Silver and platinum, though, are
held and traded throughout the
world and their true value (that
is, their purchasing power) is
not solely or directly dependent
on the falling fortunes of the
U.S. Dollar. Precious metals,
therefore, can be a form of
protection against a falling
U.S. Dollar.
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