-- Posted 5 January, 2009 | | Discuss This Article - Comments:
(Silver! Just buy it!)
Silver Stock Report
I had a wonderful New Year's break, with time with family and a time to relax. I hope you did, too.
In Mid December, I did another radio interview, which you can listen to here:
The interview was by an enthusiastic lady who had been reading my newsletter for a while, and recently bought silver for herself. Here's her intro:
Jason Hommel of Silver Stock Report is my guest! WOW! Now I know why we should buy silver now! He explains why paper money and paper promises are not working. Where is the silver? Where is the gold? Listen in to the show and learn from this "truth telling" man!
Visit him at his web site at www.SilverStockReport.com You need to sign up for his newsletter as well. I went to his Mom's e bay site and bought a silver bar...let me tell you...there is an energy to holding the real, cold hard stuff!
Now that we are back, we have 5000 oz. of silver up for auction tonight at www.seekbullion.com. They are all Johnson Matthey 100 oz. silver bars, in lots of 500, to be auctioned off around 8PM Pacific, 11PM Eastern. We hope to have another 5000 oz. for auction every day this week, Monday-Thursday, and Saturday night.
Please don't bid unless you can wire the money the next morning, after your auction closes. No foreign wires, they take too long, and our margins are too low.
This silver is all pre-packaged, and is ready to be shipped out the NEXT DAY after the auction, the SAME DAY as your wire comes in, so don't delay on the wires.
The holiday break with family really gave me time to reflect on a lot of things.
First of all, let me say I'm sorry for raising so many people's expectations for silver prices over the past 10 years. I was in silver early. Too early. What can I say? Who knew that paper dollar fraud would continue so long, and who knows how long it will continue?
For several years, I've done the math on how silver can, and should return about 50% gains per year, as compared to dollars, for about 15 years in a row, (or more, faster) to make up for the dollar debasement that has continued since 1913, 1970, and mostly, since 1980. Running the math on 50% compounding over 15 years takes silver to about $8000 to $10,000 per ounce.
$8000 Silver in 15 Years
Nevertheless, I expect silver to do even better than I ever thought possible. The $8-10-20 trillion bailouts of the last year, depending on how you count, are inflationary beyond belief. The nation's money supply has essentially doubled with these political promises, literally in the last few months.
But what is better than owning silver, is dealing silver. Look, I'm sorry it took me this long to realize it, and to teach you. But it basically works like this: If you earn 1% per week on your money, dealing silver, you can earn MORE than 52% per year, due to the compounding effect.
Do the math at the compound calculator, above. 1% per week, in 52 weeks, is 68% per year. That's a lot better, and more realistic, than I ever promoted silver would do.
Or, you can earn 3% every month, which is 47% per year.
So, how you do become a dealer? Buy silver somewhere cheap, and make sure you get it FAST, from a reliable source, like from my auctions at www.seekbullion.com
Most dealers used to rely on selling from the public, but that mostly ended, and is no longer a good reliable source for silver in quantity. Too many dealers have no silver to sell, and thus, you can compete with them easily, by finding a new source that they are not using.
When I first started my newsletter, I used to ask my readers to tell people about silver, or forward my emails. I stopped doing that after a while, when I could look at the counts of how many people did. When I was sending out 25,000 emails, and only 9 people would forward them, I stopped asking. I apologize for that, too.
Let me break it to you. Unless people learn about silver, they will not buy much silver. Unless people know where to go to buy silver, from a place that has silver, they cannot buy silver, even if they wanted to. And this last year, they really wanted to! Our entire industry let the buying public down.
Every single silver producer, those mining ore, should also be minting rounds, and marketing them to the public, and their own investors, as money, as savings, as a true store of value. But the industry seems more hell bent on saying why their companies should go up in value faster than silver, (as I used to do) and thus, silver investors are told not to own physical silver from every angle.
You don't see a shoe company like Nike requiring all their employees to wear Reebok shoes to work. But why do silver companies have no problem not even offering silver, and instead, paying all their own employees in paper money, which is the primary competitor to silver?
Nike is not primarily a shoe company. They are a marketing company. Where is the comparable marketing company for silver? There is none.
That I have achieved such a wide reach among silver investors is an insult to the industry. I'm nothing. I write long, boring diatribes promoting the benefits of silver that many people love, and many people hate.
My own tiny silver business, taking COMEX bars, and having them melted into rounds, is not going to affect the silver market much this year. It might be 1/50th of annual investor demand of up to 100 million ounces, at the most. Paltry.
There is good news. Old people die. Our current system of fraud is held together by old liars who have corrupted nearly all institutions, and even the minds of the young. But the youth are resisting. Unfortunately, the youth have no money with which to buy silver.
I recently watched a fascinating debate about young people. Two authors debated, the authors of
Millennials Rising: The Next Great Generation
The Dumbest Generation: How the Digital Age Stupefies Young Americans and Jeopardizes Our Future (Or, Don't Trust Anyone Under 30) (Hardcover)http://www.amazon.com/Dumbest-Generation-Stupefies-Americans-Jeopardizes/dp/1585426393
Today's youth are different from my generation. (I'm old now, at 38.) Today's young people are growing up in a digital age of computers. Unfortunately, they are not generally taking advantage of that by reading newsletters like this one. Instead, they use the internet for social networking. (This is why they are supposedly "dumb".) So the new generation is good at discovering the consensus of their own peer group, they are good at team building, and working together on projects. Nobody likes to stand out too much as an individual.
One day, people are going to sell silver to their peer group, and the peer group of an entire generation will be convinced rather swiftly to buy silver and gold.
The profit incentives as I've outlined above, and the inevitable lure of the truth, guarantee it.
In theory, the Young are also "dumb", because they fail to talk with their college professors. But maybe that's because their professors are mostly liars, not worth listening to. When the monetary system is a lie, how can the youth have respect for their elders?
I recently ordered the most popular text book on economics.
Principles of Economics, 4th Edition (Student Edition) (Hardcover) by N. Gregory Mankiw
It arrived today. I quickly turned to Chapter 29, "The Monetary System", which should have been the starting point.
The book contains error after error, lie after lie. In the section on money, they define it as "cash and currency".
The author wonders who holds the approximate $700 billion in physical paper cash and currency and coin, and assume it must be foreigners and drug dealers, because anyone with a brain would rather put it into a bank to earn interest, assuming you must be a criminal if you don't.
Mankiw seems not to know what another Book says, the Bible, which says that those who earn interest are called usurers, and are compared to extortioners and robbers. (Ezekiel 18).
See, those who teach our young get it exactly backwards. Usurers are the criminals, not people seeking to avoid putting money in the banks.
The banks are the criminals.
Eventually, an entire generation will get that, all at once.
Silver. Just buy it!
And then, market it! (Is that too long of a slogan?)
-- Posted 5 January, 2009 | | Discuss This Article - Comments:
Last Three Articles by Jason Hommel, Silver Stock Report