The Silver Intersection
By: Richard Karn, Emerging Trends Report | 3 November, 2006

By and large, there are two approaches to investing in silver, one mundane and easily grasped, the other emotionally-charged and somewhat abstruse. The first, the commodity approach, is based on silver being in short supply. The second, the monetary approach, views silver as a store of wealth in times of rampant monetary inflation. Both approaches fervently believe the price of silver is destined to go much higher but for seemingly contradictory reasons: the commodity camp because silver is increasingly scarce in a time of global expansion; the monetary camp because when the fiat dollar collapses, silver will become extremely valuable as real money. This often sees the two camps acting at cross-purposes, buying and selling silver and its instruments at different times for different reasons, the parade of exuberance colliding with the dollar’s funeral procession at the silver intersection, and a jostling chaos in the marketplace results. Full Story