In 1980, when the Hunt Brothers cornered the Silver market, there was a very brief period of time in Canada when you could purchase a single family house for about 1000 oz of silver.
The average single family house in Canada in 2024 is around $700,000.
If another event like the Hunt Brother's cornering the market happens, silver would have to rise to about CAD$700 / oz from it's current CAD$40 / oz.
That happened 44 years ago.
If it happened again, the Gold to Silver Ratio can be anywhere between 20 to 120, meaning the price for gold would be somewhere between CAD$14,000 to $84,000 from the current CAD$3200.
The Joseph Effect is a really interesting cycle to read into, especially the 7th Joseph Effect Cycle (which happens every 49 years).
I get the impression that derivatives markets manipulate spot price of commodities. I'll do some digging to see what I can uncover regarding this hypothesis. Seeing a re-valuing of Gold/Silver would be pretty awesome
As long as COMEX can settle derivatives contracts in cash instead of physical delivery of the gold/silver itself, the derivatives markets can set spot price.
If there's ever a run on the COMEX for physical delivery, the sky's the limit to what the price can be.
You can't create semi-conductors, EV's, or any green tech without silver - and it's industrial demand is price inelastic - meaning there will be willing buyers for either metal if the price is what it is now or 100x what it is now.
Tesla, Apple, Alphabet will all be buying silver no matter what the price for it is - because they can't create vehicles or smartphones without it.
In 1980, when the Hunt Brothers cornered the Silver market, there was a very brief period of time in Canada when you could purchase a single family house for about 1000 oz of silver.
The average single family house in Canada in 2024 is around $700,000.
If another event like the Hunt Brother's cornering the market happens, silver would have to rise to about CAD$700 / oz from it's current CAD$40 / oz.
That happened 44 years ago.
If it happened again, the Gold to Silver Ratio can be anywhere between 20 to 120, meaning the price for gold would be somewhere between CAD$14,000 to $84,000 from the current CAD$3200.
The Joseph Effect is a really interesting cycle to read into, especially the 7th Joseph Effect Cycle (which happens every 49 years).
https://www.investopedia.com/terms/j/josepheffect.asp#:~:text=years%20would%20follow.-,Seven%20good%20years%20are%20known%20as%20the%20Joseph%20Effect%2C%20while,a%20predictor%20of%20recession%20timing.
I get the impression that derivatives markets manipulate spot price of commodities. I'll do some digging to see what I can uncover regarding this hypothesis. Seeing a re-valuing of Gold/Silver would be pretty awesome
As long as COMEX can settle derivatives contracts in cash instead of physical delivery of the gold/silver itself, the derivatives markets can set spot price.
If there's ever a run on the COMEX for physical delivery, the sky's the limit to what the price can be.
You can't create semi-conductors, EV's, or any green tech without silver - and it's industrial demand is price inelastic - meaning there will be willing buyers for either metal if the price is what it is now or 100x what it is now.
Tesla, Apple, Alphabet will all be buying silver no matter what the price for it is - because they can't create vehicles or smartphones without it.
I'll let you know what I do regarding Argentina.
It's rare to see any country not following the growing government, central bank, serf system.
My wealth growth formula looks first for cheap.
If I cant find anything cheap I diversify.
Argentina is both cheap and diversification✔️✔️