Silver Is Destined For Massive Gains

Silver, at this current time of writing, remains below $15.00 per ounce; it is sitting at $14.76. This price is absurdly cheap given the current state of the global economy and the uncertainty that the world now faces.

One of the main reasons for silver being so depressed compared to the resilience that gold has shown is the incredible range of uses that silver has in the manufacturing of a vast number of products. This is a topic that we have covered here in the past that highlights why silver, with its dual purpose as both an industrial and monetary commodity, make it so desirable now and in the future.

With the global economy slowing down, so too has silver crashed, along with most other commodities. This has provided a unique opportunity for those of us who value silver as a monetary metal to accumulate it at insanely cheap prices given its current completely out-of-whack gold-to-silver ratio, a ratio that is screaming at the top of its lungs that silver is the steal of the century.

Resting at nearly 84:1, this is one of the highest gold-to-silver ratios that we have ever seen. Typically, throughout history, this ratio has rested at 16:1! What this is saying is that either gold is currently very overpriced, which is not the case – if anything, gold is still a relatively good price given the dangerous precipice we now find ourselves on – or silver is horribly under-priced and is destined to rocket higher in the future.

The latter of the previous two scenarios is the outcome that I am guessing will come to fruition. Silver mines are beginning to shut down due to low prices, which will inevitably lead to supply issues, given the massive physical demand that silver continues to see at these artificially depressed prices.

Mints around the globe have reported record silver sales and have even been forced to temporarily shut down sales multiple times over the past couple of years, indicating that: 1) the price is too cheap, and  2) physical silver is in demand.