I have often told my clients that I have no idea what prices will be next year, next week, or tomorrow. Usually they laugh, and some say, “Well you’ve been doing this for many years, surely you have a gut feeling.” OK, I have been doing this for many years, and the only thing I am certain about is that gold and silver are real money, and un-backed pieces of paper or brass coins, will eventually become worthless, after becoming worth less and less, over a period of time. Sometimes they become worthless quickly, as in Zimbabwe and Venezuela. Those people, I am sure, wished they had invested in gold or silver, before their currencies became worthless.
If I’d known Tuesday, (10/9) that the Dow would crash on Wednesday, (10/10) I’d have shorted a bunch of stocks and made a fortune. If I’d known on Wednesday, that on Thursday (10/11), gold would go up $30, and silver up 60 cents, I could have bought heavily on Wednesday, sold on Thursday, or kept it, and done very well. Who knew? Not me, in spite of my dealing in precious metals since November of 1977, which is when some of you weren’t even born, and many were in grammar school. I’ll guarantee you that no one knew the Japs would bomb Pearl Harbor on Dec 7th, 1941, because if they did, all the ships would have been sent to sea, or our planes would have sunk the Jap carriers before they ever got a single plane off the flight decks.
Then the Dow crashed again on Thursday, and many thought it would go up after going down 831 points on Wednesday. No way. It went down another 500. Think about who 95% of America thought who would be the 45th President. Hillary, and us conservatives lived in horror at the thought. We didn’t realize that other than in a few big cities, America was sick and tired of Obama, socialism, and Democrats. We all cheered when Trump pulled it off. There are many ways of predicting a few future happenings. Hurricanes can be accurately predicted and even their strength and path, because of weather observations from above and past events. Even with the accurate forecasts of “Michael” and “Florence,” many ignored warnings, and a few died from their stubbornness. Millions will trust brass coins and paper money till their dying days, regardless of the absurdity of such a belief.
Which makes me point out another fact, and that is the total security of precious metals from hurricanes, fires, and government interference…assuming you store your metals in a safe place. Safe place? A gun safe, which can be purchased for about $1500 is an excellent storage facility. A gun safe is large enough for tens of thousands of dollars worth of silver, plus gold, guns (keep a few out of the safe, by the front door, by your bed, etc, for protection), valuable papers, and things you don’t want lost or stolen. Many people bury metals in the ground, maybe next to a metal sewer pipe to avoid metal detectors from identifying them. Just don’t forget where you buried them, and bury them in a waterproof container.
Speaking of gun safes, here’s the way to buy one. (1) Cash only. No checks, because you don’t want the sales person knowing where you live. (2) Borrow someone’s pickup to get it and bring it home. Not yours, because your license plate can give away your address, and that’s where the safe is going. (3) Don’t allow it to be delivered, for obvious reasons. If you are a gal, old, or weak, get a friend you trust to help you. Some things are obvious, but maybe the foregoing aren’t, since safe purchasing is a one-time deal usually. I am here for suggestions and advice, but not as to what will happen ten minutes from now.
One of the greatest economists who ever lived, was Ludwig von Mises, (1881-1973). He coined a two word definition of economics, and that is “People Act.” (I had the privilege of selling his widow a few Krugerrands in the late 1970’s). People do indeed act, and their actions, influenced by conditions, determine what will sell, what will crash, and in general, actions and thoughts by the populace determine results of elections, and prices of everything. Kodak ignored the upcoming digital camera, and Kodak no longer exists. They thought they could continue making film, and maintain their market share and profitability. Who wants film today? No one! Gold and silver are eternal, and no matter what happens, they will always be true, real, valuable money. They will not suffer from bad management or inability to see what is happening, like Kodak. They’re just tangible, tradable, desirable, beautiful, MONEY. That’s what we do for 1% over what we pay for them from the world’s largest distributor. We deliver it to you for that 1% also. – Don Stott 1-888-786-8822