re: SLV

To answer a couple of questions above. I get e-mails like this all the time. I mostly disregard these, but between the advertisements, and encouragement to purchase rare coins (which I do not do) lies my most basic reason for being long silver.

Industrial demand and demand to invest in physical silver is at all time highs. I eluded to the rumors about Apple's delay in introducing one of it's products. Rumors swirled around, by those a lot smarter than I, that it was Apple's inability to obtain physical silver. To my knowledge Apple has never publicly stated the reason, and never given indication if it, or its' suppliers hedge their silver purchases with futures contracts. I'm betting their suppliers certainly do.

Silver has medical and industrial uses, unlike gold. Scientists do not think an invention will replace silver. Mining and production are down right now for obvious reasons.

I started buying and taking physical possession of silver at $4 per oz. Several people encouraged me to sell all, or some of my silver, at its' all time high. I didn't sell.

In a worst case scenario, I can spend an oz. of silver. Even if it pushed $100-$200 per oz like some are guessing. A oz of gold would likely always be worth more, and consequently it would be difficult to buy groceries with gold.

There is a disconnect between the demand, supply, spot prices, and futures prices.

There is no way if the futures contracts were called for delivery the physical silver could ever be produced.

i shares SLV is an entirely different story. The relationship between i shares and JP Morgan Chase is about as unethical as could be. Large firms need to be able to cover blind puts, and other shorts they have. JP Morgan Chase seems to be able to do this with the silver they hold as custodian for i shares.

Redemption of SLV shares for physical silver are restricted. On occasion you will see extremely large deposits in to SLV, followed by extremely large withdrawls. Some larger deposits are subject to being reported. It has happened often enough that larger institutions, hedge funds etc are depositing cash, and withdrawing physical silver. Do a bit of research to see who can convert SLV shares in to physical silver.

There have been federal investigations in to this. Google will provide this background.

There is a vast amount of research, speculation, anecdotal and empirical evidence on all of this. Where there is smoke one usually finds fire.

Eric Sprott is a good resource. On the other end of the spectrum Jim Kramer hates silver.

I buy for appreciation. Unless silver dips below $4 per oz, I think I win this argument. I do have some purchased as high as $32 for full disclosure.

I also buy as a hedge and an insurance policy. I cannot believe anyone with any common sense isn't uneasy with the US monetary policy. World monetary policy for that matter.

I've mentioned this before. I usually do the exact opposite of most everyone else, and I usually get the exact opposite results. I'm a young 47, and am very happy getting opposite financial results of almost everyone else out there. 10% of people make 90% of the money for a reason.