Category Archives: Investment

Equities and precious metals prices dropped after the United States released data Wednesday morning showing home sales slumped 1% to a 14-year low despite falling interest rates.

Despite the significant news, economists had anticipated a 1.3% drop. Year-over-year sales have dropped 3.5% from September of last year. Continue reading →

Gold rises to another record high early Wednesday on geopolitical risk including the conflicts in the Middle East and the upcoming U.S. election. Spot gold hit a record high of $2,758.37 while U.S. gold futures edged 0.2% higher to $2,764.30. Since the high, the bullion has dropped on profit-taking with spot gold slipping $20 an ounce. Continue reading →

(Bloomberg) — European equities were set to emulate Asia’s lackluster session as concerns on China’s economy and a tight US presidential election dented risk sentiment. The yen halted a three-day drop. Continue reading →

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Gold hits new highs, while silver surges to $35, marking a 12-year peak. With central banks buying gold and industrial … Continue reading →

While gold prices have repeatedly set fresh record highs this year, silver has been rallying as well – with one analyst predicting that prices for the precious and industrial metal will reach $40 an ounce or more before the end of the year, as supplies continue to come up short of demand. Continue reading →

In an op-ed published Monday in the Financial Post, the well-known financial commentator said gold has separated from its traditional price movers such as interest rates, inflation, and the dollar. Continue reading →

In a recent interview on Liberty and Finance’s YouTube channel, precious metals expert David Morgan, also known as the “Silver Guru,” shared his insights on the current state of the gold and silver markets. The interview of David Morgan comes at a pivotal moment, with both metals experiencing significant price increases. Continue reading →

This is Why Silver Price Doubles: Russia’s Metal Maneuver Alarms Western Banks

Russia’s Silver Shift Signals Economic Warfare. Silver Poised to Double in next 6 months.

Context: I have been involved in the Reddit SilverSqueeze movement since it started.

I write this earnest post with no disrespect for the “so-called” Apes, but NOTHING THE US Retail APES CAN DO CAN COMPARE TO WHAT RUSSIA IS launching

THE ULTIMATE SQUEEZE

more context and historical comparisons:

The 1973 Oil Embargo and the NEW silver squeeze by Russia share some similarities.In both cases, a dominant supplier exploits control over a critical resource to exert geopolitical pressure.

Just as OPEC nations leveraged their oil reserves against the US and its allies, Russia has now turned the tables knowing US banks are shorting silver in an environment that is nonsensical.PLUS, Russia’s significant silver production comes into play. ( A story we will be continuing)

With the US relying on imports for 80% of its silver needs, it’s vulnerable to supply disruptions, much like the oil-dependent nations in 1973. The Russian silver squeeze will cause Silver soaring mirroring the effects of the oil crisis

Both scenarios demonstrate how control over a vital commodity can offset traditional power dynamics, allowing a resource-rich nation to punch above its weight in global affairs

Russian economist Sergey Glazyev, known for proposing the gold-for-oil exchange, has successfully achieved the triumphant victory.

He has successfully advised Russia to capitalize on silver’s undervaluation relative to gold. This strategic move, just before the BRICS summit, positions Russia to massively benefit from the ultimate silver squeeze sticking it to US Banks.

Russia’s recent move to add silver to its state reserves alongside gold, platinum, and palladium marks a significant shift in its precious metals strategy.

This decision, outlined in the country’s Draft Federal Budget, proposes allocating 51.5 billion rubles annually for precious metals purchases through 2027. The inclusion of silver in this strategy is particularly noteworthy, as it represents a departure from traditional central bank practices.

This strategic shift carries profound implications, especially when viewed through the lens of historical East-West tensions. The legacy of the Cold War, détente, the Iron Curtain, and America’s long-standing paranoia over communism have shaped global economic policies for decades. Now, as Russia moves to diversify its reserves, it exposes a vulnerability in the U.S. financial system that traces back to the abandonment of the gold standard and the petrodollar system.

The United States, having lost both gold and oil backing for its currency, now relies heavily on its global military presence to maintain the dollar’s dominance. With hundreds of military bases worldwide serving as the primary bulwark for the U.S. dollar, America’s economic strategy appears increasingly precarious in the face of evolving global financial dynamics.

Russia’s decision to incorporate silver into its reserves will likely trigger a domino effect among other nations, particularly in the context of dwindling global silver inventories.

This potential trend becomes even more significant when considering the United States’ historical neglect of silver, exemplified by its removal from circulation coinage. As other countries potentially follow Russia’s lead, we could witness an unprecedented setup for explosive growth in silver prices. – Silver Academy’s Jon Forrest Little

The timing of this shift is particularly crucial, coinciding with the upcoming BRICS summit and the ongoing global de-dollarization campaign. As emerging economies seek alternatives to the U.S. dollar-dominated financial system, silver could emerge as a key player in reshaping international reserves.

The potential for a dramatic increase in silver demand from central banks and governments could create a perfect storm in the silver market. With industrial demand for silver already robust due to its critical role in green technologies and electronics, additional pressure from national reserves could lead to severe supply constraints. This scenario is further compounded by the fact that silver is often produced as a byproduct of other metal mining operations, making rapid increases in supply challenging.

Moreover, the psychological impact of major economies embracing silver as a reserve asset could fundamentally alter market perceptions. Investors and institutions that have long overlooked silver in favor of gold might be compelled to reassess their strategies, potentially triggering a surge in investment demand.

The ramifications of this shift extend beyond mere price movements. A significant revaluation of silver could disrupt existing financial paradigms, challenging the dominance of fiat currencies and potentially accelerating the transition towards a multi-polar economic world order. Countries holding substantial silver reserves could find themselves with newfound economic leverage, while those slow to adapt might face increased financial vulnerability.

As the BRICS nations continue to explore alternatives to the dollar-centric financial system, including the possibility of a commodity-backed currency, silver’s role could become even more pivotal. Its dual nature as both an industrial commodity and a precious metal makes it an attractive component for any new reserve currency framework.

In conclusion, Russia’s move to add silver to its reserves, viewed against the backdrop of historical tensions and current global economic realignments, could be the catalyst for a transformative period in the precious metals market. As other nations potentially follow suit, we may be witnessing the early stages of a silver renaissance that could reshape global financial dynamics for years to come. The confluence of diminishing inventories, industrial demand, and this new source of monetary demand creates a compelling case for a dramatic revaluation of silver in the near future. Continue reading →

For the past several weeks, I’ve been writing articles and creating video presentations about an imminent silver breakout that could quickly push prices to $50. During this time, I’ve observed significant investor cynicism, as many grew frustrated with silver’s sideways movement over the last five months. In that content, I encouraged investors to remain confident, as I believed silver was on the brink of a historic bull market. Sure enough, on Friday, what began as a typical day saw silver surge nearly 7%, meeting the criteria I had outlined to confirm the next phase of its bull market. In this article, I will break down the details of silver’s Friday breakout and explain why a powerful silver squeeze has now officially begun.

The key criterion I outlined to confirm the next leg of the silver rally was simple yet widely overlooked by investors and surprisingly difficult to achieve: the spot price of silver must decisively close above the $32.50 resistance level, supported by strong trading volume. The $32.50 resistance level was set at the May high, after which silver retreated and stagnated over the summer. Silver made attempts to break through this level on September 26th and October 4th, but both attempts failed, resulting in further pullbacks. Silver’s impressive $2.02 (6.38%) surge on Friday, accompanied by trading volume more than double the prior week’s average, definitively fulfills that criterion. (A caveat to consider is that if silver closes back below the $32.50 resistance level, it would invalidate Friday’s bullish signal. However, I find that scenario unlikely.)

The next condition I outlined was that silver priced in euros must decisively close above the €30 resistance level, which was established at the May peak. I stated that this event would help confirm a close above $32.50, greatly reducing the chances of it being a false breakout. I find it valuable to analyze silver priced in euros, as this approach removes the impact of U.S. dollar fluctuations, offering a clearer view of silver’s intrinsic strength or weakness. Notably, silver priced in euros often respects round numbers like €26, €27, and €28, frequently establishing key support and resistance levels at these points. On Friday, silver finally broke through the €30 level with such momentum that it even closed above €31, signaling the strong potential for further gains in the coming week.

Gold, a major driver of silver prices, is generating a strong tailwind for silver after breaking through two key resistance levels since September. By every measure, gold is in a confirmed uptrend, and I believe it’s on track to reach $3,000 in the near future. This momentum should continue to bolster silver’s rally. While gold reaching $3,000 might a bit far-fetched, it’s actually quite realistic, as it’s just over a 10% increase from today’s price.

Silver mining stocks are also important to watch for confirming silver’s price movements, as they often mirror investor sentiment toward the metal. The Global X Silver Miners ETF (symbol: SIL), the most heavily traded silver mining stock ETF, had been stuck in a flat range since April. I’ve been stating that a strong, high-volume close above the $36 to $38 resistance zone would indicate that both silver and silver mining stocks are primed for a major breakout—and that’s exactly what occurred on Friday. I believe that those who were lamenting the poor performance of silver mining stocks will soon be singing a different tune!

Another key confirmation I’ve been watching for is a breakdown in the gold-to-silver ratio, a useful indicator for assessing silver’s price trajectory. As I stated, a close below the 83 to 84 support zone is valuable for confirming the start of a silver rally and its outperformance over gold—and that’s exactly what happened on Friday:

The long-term gold-to-silver ratio chart reveals that silver is currently significantly undervalued compared to gold, indicating that silver has much more room to rise in order to catch up. If the ratio were to revert to its historical average of 52.8 since 1915, even without any increase in gold’s price, silver would be valued at a respectable $51.55 per ounce.

Adjusting silver’s price for inflation further highlights how undervalued it is by historical standards. During the Hunt brothers-induced spike in 1980, silver reached an inflation-adjusted price of $143.54. In the 2011 bull market, driven by quantitative easing, it hit $68.04. Currently trading at just $33.70, silver has significant room to rise if it’s to catch up with these previous inflation-adjusted peaks.

Another way to assess whether silver is undervalued or overvalued is by comparing it to various money supply measures. The chart below shows the ratio of silver’s price to the U.S. M2 money supply, providing insight into whether silver is keeping pace with, outpacing, or lagging behind money supply growth. If silver’s price significantly outpaces money supply growth, the likelihood of a strong correction increases. Conversely, if silver lags behind money supply growth, it suggests a potential period of strength ahead. Since the mid-2010s, silver has slightly lagged behind M2 growth, which, combined with other factors discussed in this piece, position it for a strong rally.

There is a high probability that silver will quickly run to $50 in the course of this rally. I’m focusing on $50 as a relatively short-term target because it’s a significant psychological level and the peak reached during both the 1980 and 2011 rallies. One of the reasons why I’m so bullish on silver is because its monthly chart reveals a recent breakout from a massive, two-decade-long triangle pattern. This breakout confirms that silver is on the verge of a powerful bull market:

Even more exciting is the fact that silver’s logarithmic chart, dating back to the 1960s, reveals a cup-and-handle pattern, indicating the potential for silver to reach several hundred dollars per ounce during this bull market. In order to confirm this particular scenario, silver needs to close decisively above the $50 resistance level.

A significant portion of Friday’s silver buying volume was likely driven by short-covering. Short-covering happens when traders who have bet against an asset, like silver, through short-selling are forced to buy it back as the price rallies, in order to limit their losses. As the asset’s price rises, these traders become increasingly desperate to buy it back to close their positions, which in turn fuels the rally even further. If the buying is aggressive enough, this can lead to a short squeeze, amplifying the upward momentum.

A key condition for a short squeeze is the presence of unusually heavy short positioning in the asset. This is currently the case in COMEX silver futures, where swap dealers—mainly bullion bank trading desks—hold their largest net short position in eight years, totaling 38,832 contracts. This is equivalent to 194.43 million ounces of silver, or roughly 23% of the annual global silver production—a staggering figure.

Many analysts believe that bullion banks like JPMorgan and UBS are engaging in aggressive naked short-selling—dumping silver futures without actually holding the physical silver to back them up—in an effort to manipulate silver prices downward. There is a strong chance that these banks will end up on the wrong side of the trade as this rally continues, triggering a powerful silver short squeeze. Given the current size of their short position, bullion banks face nearly $200 million in losses for every dollar increase in the price of silver. This means they lost nearly $400 million on Friday alone! Now, just imagine what will happen as silver climbs by $5, $10, $20, and beyond from this point.

The risk of an explosive silver short squeeze is further amplified by the astonishing ratio of 408 ounces of “paper” silver—ETFs, futures, and other derivatives—for every single ounce of physical silver. In a violent short squeeze, holders of “paper” silver could be forced to scramble for the extremely scarce physical silver to fulfill their contractual obligations. This would cause the price of “paper” silver products to collapse, while physical silver prices would skyrocket to jaw-dropping levels, potentially reaching several hundred dollars per ounce (this event is what may fulfill the price target implied by the cup and handle pattern I showed earlier).

As if the technical outlook weren’t already bullish enough, silver’s fundamentals are just as compelling. Surging industrial demand, coupled with declining global mine production, has kept silver in a structural deficit for the past four years—and there’s no sign of relief on the horizon. In 2023, the deficit reached 184.3 million ounces, with an even larger shortfall of 215.3 million troy ounces projected for 2024. The silver deficit in recent years has rapidly depleted above-ground supplies, tightening supply even further. This shrinking supply will intensify the impending silver short squeeze, driving an even more dramatic price surge. For a deeper dive into silver’s bullish fundamentals, be sure to check out my article from earlier this year.

Silver’s breakout on Friday marks a pivotal moment in its ongoing bull market, confirming many of the key conditions I’ve been highlighting for weeks. With silver decisively closing above the critical $32.50 resistance level and surging on high volume, the stage is set for a powerful rally. The technical and fundamental drivers behind silver are aligning, from the breakdown in the gold-to-silver ratio to surging demand and shrinking supply. The looming threat of a short squeeze, combined with silver’s structural deficit, suggests that the price could climb significantly higher, potentially reaching levels not seen in decades. As silver continues its upward trajectory, the potential for explosive gains has never been clearer.

Also watch the related video presentation I created:

https://www.youtube.com/watch?v=0QnZuvW9tFc

Authored by Jesse Colombo via Substack,

If you enjoyed this article, please visit Jesse’s Substack for more content like this… Continue reading →

In a dramatic turn of events for precious metals investors, silver has surged past the $33 per ounce mark, registering a remarkable 5% increase. This breakthrough comes as gold continues its record-breaking run, touching a new all-time high of $2,716 per ounce. The precious metals market is witnessing unprecedented momentum, driven by a combination of geopolitical tensions, economic uncertainties, and shifting investor sentiments. Continue reading →