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Investing in Gold

High this is my first post on Daily Paul, but i`ve been interesting in Ron since May. My question is would it be a safe to take $1000 out of the bank and rather invest in gold (or should i put it in silver)? Im a Canadian college student by the way.



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Silver is my pick, but your call

I do silver because it's a lot cheaper (and therefore more people can afford to invest in it, thus percentage wise has greater gain)

here's links
http://whysilver.org
http://ivorypower.com/blog/?p=2864

shop like a pro

Just buy Roosevelt dimes off eBay. Its the cheapest way to go without doing a lot of work. No need to make money for some middleman corporation. No need to pay outrageous shipping and handling fees on top of high premiums etc. There are plenty of small time sellers on eBay (myself included) who have numismatics and bullion for sale at very competitive prices.

Learn how to do the math. Learn how to translate current spot into actual melt value. Then you will be able to shop like a pro.

_______________________________

..Without the truth we have nothing

I would go with silver right now

mainly because the main demand for silver is industrial not monetary demand. Currently the amount of silver production each year is only about 80% to 90% of demand. Silver has a much better upside than gold at this point. If silver reaches up to about $100/oz., then I would sell especially if there is an economic downturn. Silver would probably fall off rapidly with a downturn as the industrial demand would also slacken. Then, take the profits from the silver and put it into gold which would have a better upside in a recession or depression level economic situation.

im in metals

I am in metals, mostly silver since i'm very young and it's more affordable ... I think silver has more room for a price increase ...
.... silver = the poor man's gold ... I have a lot of money in silver and a lot less in gold since it is expensive

I would go with silver, but acquire whatever amounts of gold you can also afford. I'm about 80% silver 20% gold

All paper money eventually returns to its real intrinsic value, zero. - Voltaire

silver

traditionaly silver follows Gold at a ratio of 10:1 so at 15$ per ounce it has a way to go. There could be alot of money to be made in silver if it goes up to 50 per ounce

Junk silver coins

At the $1000 level, the purpose isn't investment/speculation--you're not going to make a killing here--but rather catastrophe insurance that comes into play if paper currency collapses and the only way to pay for stuff like groceries is to barter or to offer money with true intrinsic value.

So for $1000, stick to Canadian junk silver coins. "Junk" means they have no numismatic (collector) value above their silver content. Canadian coins (10c, 25c, 50c, and $1) with a date of 1967 or earlier are mostly silver, as are some 1968s.

Verify this yourself, but I recall that their silver content is about 70% and that a silver dollar weighs 1 oz. Silver is currently around $15/oz, so a silver dollar contains $10.50 of silver. However, you'll pay a premium of maybe 25% above the spot price, so let's call it $13 per dollar of face value. For $1000, that means you'd get about $77 in face value of silver coins. If you're near a major city, you should be able to find a coin dealer who sells junk silver coins.

Almost

The "traditional" Silver:Gold ratio is 15:1

I believe that that ratio was actually written into American law - Bimetallism - and is one of the reasons we never had a real gold standard.

When PM prices spike, the 15:1 ratio tends to return as it did in 1980 with gold peaking around $850 and silver over $50.

The current ratio is 54:1

So, as the PM market heats up and silver works to regain the 15:1 ratio, one might conjecture that silver could return three times more on an investment than gold.

Maybe.

traditional

we've lost traditional for 20 years, i don't think that'll happen again, but certainly do wish we close in on the 50:1 gap. 25:1 would be sweet enough.

Correction

I havent checked the price until now. It looks as if the correction is starting. Its down to about 823

link

https://www.bulliondirect.com/membership.do
Here is a link they have the most reasonable prices I have found. Watch for the correction.

https://www.bulliondirect.com

https://www.bulliondirect.com/membership.do
Here is a link they have the most reasonable prices I have found. Watch for the correction.

Everybody has an opinion on

Everybody has an opinion on this, so you'll want to do some research to find out what the best bet is for you:

http://www.321gold.com

http://www.dailyreckoning.com

Take some time to do Canada specific research as well.

Hi Welcome I have about

Hi Welcome I have about 5,000 in gold and silver at goldmoney.com, it's pretty decent, good reputation.

gold

1000 dollars isnt going to buy much gold you should invest around 10,000. Wait until it corrects. It is due for a correction. Somewere in the area of around $800 to $810 maybe the upper 700's then buy but, if you dont see a correction within a month then buy.

I Conur on the correction

I Conur on the correction and also concur on the silver. Current silver gold ratio is 54:1. Yes, historically it is 15:1 . Yes, in ones lifetime you can expect a severe narrowing of the ratio to its historical average... Enjoy. I own more silver than gold...

Tim
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