Physical Silver And Gold Investing: The Aging US Population
I have followed gold and silver through physical and ETF and miners' stock over the past 2 years. Although I am a person who uses a 401K plan that allows for physical metals, I realize that most people do not. But it appears to me that there is an overlap of things which may indicate when silver makes itself felt.
I was born near the end of the 'baby boom' and I am nearing my early retirement age. And millions of other people are as well. Add to this the easy access to information on how to use ETFs or an IRA that allows for physical metals to be held and you have a starting point. Now add in the fact that the US economy is expected to be sluggish at least until 2012 with the current administration and global financial turmoil.
My conclusion: Silver investors will realize that physical metal in a 401K can be withdrawn at age 59 1/2. Millions of people are aware of gold because of the persistent advertising on TV and radio to buy gold or sell unwanted jewelry. As the trading for gold increases, silver is also 'noticed' and people can easily learn that silver is 'cheap' at this time, though it has about doubled since 2/2009.
It seems to me that if the CFTC hearings about silver manipulation expose the few 'short' trading giants and an enforcement follows to correct the imbalance, silver will get more attention. And that means people will realize the silver and gold are being influenced artificially by large bank interests. With easy access to information about metals trading, fear of inflation and economic uncertainty, and nearing retirement age... millions will realize that holding silver is a way to maintain value and will act to do so.
Because the silver market is very small, silver is getting harder to extract. It is more used in electronics and medical applications than ever. And it is quickly showing up nationally as a store of value for more reasons than gold alone. Once the momentum begins, silver could easily 'take off' and serve the purpose of satisfying several basic needs and wants at once.