I should say, despite my crack on goldbugs, I think gold and silver will do moderately well over the next 5-10 years, with a decent chance of a big price spike but much less downside risk.
With silver, there’s a growing number of industrial applications, and it currently costs more money to build new silver mines than the current $17 market price of silver. There are older mines producing silver for $7/oz, but mining costs tend to go up and there has been no new big discovery in a very long time. Even when silver was above $30 for an extended period, mining simply did not go up much.
What I do not think will happen is the gold $10,000 silver $200 scenarios because of the various conspiracy theories out there about supposed “Fed manipulation” and “naked shorting” of gold and silver.
