Will silver, like gold, appreciate substantially against all currencies?
*Barron's, by Tom Sullivan, March 1, 2010
“Bullish on Bullion
THE DOLLAR IS NOT AS GOOD AS GOLD. Neither are 22 other currencies.”
“the purchasing power of national currencies is being constantly eroded.”
“Silver also appreciated against the 23 currencies, from 9.5% for the New Zealand and Australian dollars, to 14.4% for the U.S. dollar, to17.3% for the Mexican peso.
Gold peaked around $1,220 on Dec. 3 and closed Thursday at $1,108.50. In an interview three years ago Turk predicted that the metal could go as high as $8,000 an ounce in inflation-adjusted dollars somewhere between 2013 and 2015, and he’s sticking with that price target. “I don’t think this [uptrend] is going to reverse anytime soon,” he says.
That’s because governments are debasing currencies, he says, destroying their citizens’ purchasing power by spending beyond their means and using debt to stay afloat. The U.S., as one example, is trying to goose its economic recovery through massive deficit spending, but it may worsen the situation should the dollar tank, Turk asserts.
There are, of course, opinions to the contrary.”
*This information is solely a highlight of the opinion of a third-party publication and is incomplete. Please subscribe to this publication for the full and timely opinion of the author and call a Monex Account Representative for any additional up-to-date information. This is not an offer to buy or sell precious metals. Investors should obtain advice based on their own individual circumstances and understand the risk before making any investment decision.