(Money Metals News Service) Silver is starting to attract high levels of retail demand from U.S. investors – most of whom very recently caught on to the compelling silver investment thesis.
Five years of production deficits combined with an expanding array of demand sources have finally started to matter, with silver just recently breaking out of the below-$50 price zone that trapped it for 45 years.
There are historical precedents for a dramatic and swift fourfold increase in a metal’s market price. This happened with silver in the 1970s – and more recently with copper and lead.
Copper had spent decades in the $1 range only to suddenly rise to $4 in a matter of months in 2005. Lead did something similar in 2007.
After these incidents 20 years ago, copper and lead suddenly found themselves trading in new, much higher price ranges – or, as Michael Oliver has said, “a new reality.”
There are no guarantees silver will continue to advance higher in the near term. However, rapid four-fold moves can and do happen when the market concludes that a particular commodity has been mispriced.
Silver is presently trading at a premium in London and Asia, especially now that China (the second largest producer of silver) is restricting exports of the “poor man’s gold” like it has previously done with rare earths.
The steep silver premiums in Asia have the effect of drawing in physical supply from other parts of the world like a magnet, fueling overall price gains.
Phone lines are open at Money Metals today (and Saturday), but there could be hold times given the incredible demand coming in. Remember that you can always order online at MoneyMetals.com!
Money Metals Remains Flush With Inventory
Meanwhile, thanks to its superior capitalization and inventory management, Money Metals has found itself better positioned than its competitors to satisfy the new demand that’s pouring in.
Virtually all products remain in stock at Money Metals. Our only real challenge is staying on top of the overwhelming call volume and order fulfillment throughput.
However, we’ve hired 20 additional employees since Christmas, and we are continuing to staff up aggressively to serve these droves of new customers.
Meanwhile, the best value in silver right now is pre-1965 silver dimes and quarters, available at Money Metals for $1 BELOW SPOT. Check it out!
