Generally speaking when an asset such as physical silver and gold are so highly touted as being the next big investment, the buyers tend to be a little late to the party. Even though I am heavily invested in both, I believe that there is still quite a bit of upside potential. If you don’t believe we are headed for inflation or hyper-inflation then obviously you haven’t been paying attention. Regardless of what happens to the USD in the near term, the long term prediction is much different. You can only manipulate markets for so long. Unless things change dramatically in the next few years we will become the next Roman Empire.
Of course China would make a statement like this because they have a number of investments tied to the USD and if the USD was to fail, China would be in big trouble. They are mighty dependent on the US and they wouldn’t want that to happen. Chris don’t kid yourself, we haven’t reached a point of stability and we aren’t anywhere close. That said your comment above is far too premature. I believe one man’s comments may control prices for a week or two and a government can only control prices for a short period as well. As the truth comes out, which I believe will start happening in a dramatic way in 2009, commodities and other assets with value will prevail!!!!
