Silver: Correction Or Downslide?

One other thing the media does not mention is that approximately 1/4 of the world's manufacturing capacity still resides in the United States. Hence, we still have adequate capacity to cover most of our needs domestically. Also, much of our oil still comes from Canada, Mexico, Domestic Production (i.e. Alaska, Gulf of Mexico), and South America. Due to recent breakthroughs in secondary recovery, we have also become the Saudi Arabia of natural gas production (only minimally covered int he media) and of course we have 500 year reserves of Coal which is admittedly a pollutant but otherwise works as a superb fuel. Many of the foreign auto companies are also foreign in incorporation only; all the cars they produce for the U.S. are built in U.S. factories. Those could easily be seized in a crises (i.e. Japan decides to hit Pearl a second time...)

admittedly a pollutant?

keynes would be proud, fenton, of your--admittedly--adept explanation.
are you arguing that we're 'doing alright' in light of these facts or are you arguing that nothing is wrong, other than that we're in a recession?

the media also fails to mention just how corrupt the fedres really is, which lends a lack of credibility to their economic theories. we've been in a controlled bankruptcy for quite some time. our actual debt, including unfunded liabilities, is between 80 and 120 trillion, and this coming from the IMF. This figure is either about 6 times our GDP or is about 9 times our GDP. this is why many expect for there to be either severe inflation somewhere down the road, as it will become necessary--if not soon then within 10 years--to print money (shrinking the debt) in order to pay.

couple that with the possibility of dropping the dollar as world reserve currency, and we could see a massive let go of offshore holdings, releasing a good many trillions to us.

i argue this bc you seem to hold that the public has somehow been worked into some absurd frenzy because they're uneducated by an already biased and entertainment-based media complex. the frenzy over metals right now, however, isn't absurd, and we don't need a lot of information to ascertain that fact.

According to their prospectus and independent audit, the iShares Silver ETF, SLV, holds physical silver in 100% (or near) proportion to trust assets.

If they do not, you are protected up to $500,000 by SIPC. Through its history, that fund has precisely tracked the spot price of the metal.

i think a lot of you are getting off topic a bit, no offense.

but weather or not silver has been undervalued and kept "cheap" for whatever reasons, there is still silver being mined and still plenty available. In my opinion and other issues going on at hand that help form my opinions, such as historical data, current market trends, gov activity and more important, the consumer. I am sure we have all seen or been involved in arguments about silver and the price, and why its doing what its doing; we, the consumer are running to precious metals as a hedge against inflation and because we feel our "weakening dollar" is threatening our way of life.

Now, if everyone starts buying up precious metals, what happens? the price goes up because the demand is greater.Is it because of industry demand,(solar, water filtration, electronics, etc) and available quantities? NO.

Now, there IS demand in the industry for silver, yes, but not to the extent that we would see 30-50% gains in the commodity in 1 year. So, correction? Yes. why? because our country is getting a little better, people are spending money again (market breached the 12k mark for the first time since june 2008) and our dollar is coming back, a little. How long will this last? If I knew I would be rich. but we don't know.

All we can do is try our best to understand what the current conditions of out market has shown us in the past. And right now, we are seeing it pull back for those reasons. I am sure there are other reasons why, I am no expert.

The unrest in the middle east (Tunisia, Egypt) is a wild card. Egypt really sent silver (and oil) soaring today.

I predict that as well. The Egypt situation will cause an upswing in PM's as well as oil. If the Egyptian President does not resign, I feel he will be forced out. That's where you will see the largest spike then as 1974 stated, they will fall back to current levels. We will see over $4.00 per gallon gasoline in the not so distant future also, especially here in California, where I predict the highest prices in the Country.

A bit off top, but I was wondering if anyone knows where to buy silver bars at close to as possible melt value? I'm from Canada if that matters,

Cheers,

Soaring? Really?