Watching. Waiting......................from Rico

While watching the precious metals markets last night/this morning [Gold-AU, Silver-AG; which are primarily paper-driven yet they 'set' the physical price] and waiting for the usual suspects [BIS, proxies?] to play unbacked paper 'whack-a-mole' to again suppress/control the price, I was also reminded of Dollar-PM ratios.

- In 1913 the markets for PM's were entirely physical markets. Look at the ratios.

- Now the markets are entirely speculative paper markets (COMEX futures contracts), but look at what happens to the Dollar ratio when physical is considered IVO 1913 terms.

 

Not so much IF, but WHEN the paper suppression game stops 'working' PM's will skyrocket in value.

- On the downside of that, bread will cost $50 a loaf....but the only ones who won't be hungry will be those who hold physical PM's. Paper won't feed you when the game of musical paper futures contracts suddenly stops.

 

No, PM's are NOT an "investment"...they are "insurance" against the malfeasance and untrustworthiness of Central Bankers and their respective Governments.