Silver. More Attractive Than Gamestop
Summary
- Silver fundamentals are stronger. No need to bet on squeezes.
- Monetary insanity will keep silver and gold as good opportunities.
- Difference between physical price and financial market price justifies buying.
Gamestop may have been fun for some small investors, but the risk of buying into a short-squeeze with no real fundamental valuation backing is a risky move.
On silver, a long position is warranted by the fundamentals of supply and demand.
https://www.youtube.com/watch?v=bP7kiUBEBk4&t=10s
In a world where currency debasement is now widespread, where many emerging market currencies are depreciating against the US dollar even in a period of dollar weakness, what we are living is fiat currency debasement, and as such, gold and silver are very attractive long-term options for institutional and small investors.
Unless you expect global monetary policy to move into contraction, which I find impossible, the best way to diversify a portfolio with highly correlated equities and bonds is to own gold and silver.
Analyst's Disclosure: I am/we are long XAUUSD:CUR.
Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.