Welcome to illuminati silver, we tell you
the truth about silver. Today is Friday 15th January 2016 and we are
briefly covering the issue of record silver eagle sales in 2015 and January 2016.
Those of us who collect, save or invest in silver naturally like to hear good news about
its price and performance. After all that’s why we purchased it in the first place. As
a result of this, when someone comes along and says; ‘oh dear beware prices are going
to fall further’ they are often criticised, chastised, told they are idiots or don’t
understand that silver is ‘real money’ etc. etc.
We have had put up with such charges since our channel began some 10 months ago. Well
frankly, until our analysis suggests differently we shall still convey the same message. Fortunately
perhaps, so far, we have been right, and past performance is certainly no guarantee of future
performance – anyone who is involved in investments have frequently heard that phrase
or similar. So rather than incur your wrath and criticism
we are going to adjust our message (well at least for today) with regard to the record
sale of Silver eagles in 2015 and also so far this year in 2016. Yes you will have no
doubt noticed the plethora of you tube videos and articles pushing the message : “U.S.
Mint Opens January With Strong Sales of Silver”; “Silver and Gold American Eagle coin sales
off to a roaring 2016 start”, etc. etc. Now it is true, that 2015 witnessed a record
sale of US Silver Eagles some 47 million for the year, with stocks being restricted towards
the end of 2015 as the Mint had run short of planchets or blanks; but what happened
to the price of silver during that year in round terms? Well it fell by some $3 or 18%.
Now in 2016 on Monday 11th January Silver coin sales jumped after the U.S. Mint said
it set the first weekly allocation of 2016 at 4 million ounces, roughly four times the
amount rationed in the last five months of 2015, after a surge in demand. In fact some
2,756,500 coin were sold that day. This past week has witnessed equivalent if not greater
sales of silver eagles than the entire month of January 2015.
So our message for today is not going to be ‘prices are going to fall further’ (though
we believe they will) but this “do not be fooled into thinking that the recent spectacular
sale of Silver Eagles will necessarily result in higher silver prices”.
Now why do we say this we hear you ask? A number of reasons and here they are not necessarily
in any order of importance: 1. More than 50% of silver purchases are made
by Industry and the Silver Institute announced in November 2015 from its survey that at least
for 2015 Industrial demand is likely to be down by some 2.5%. Since that report, figures
from China show a decrease in manufacturing output, and as China is one of the world’s
largest consumers of silver the near term future does not look that bright or favourable
for future industrial silver demand. 2. The dollar value/index is remaining high
and even inching up a little higher – hovering around or just touching 99. Naturally with
silver priced in dollars then this means prices are likely to fall.
3. Many countries are facing deflation and or recession (or close to it with just very
meagre growth revenues) which means that at least for the foreseeable future there is
little expectation for economies to increase demand and outputs – after all why is China
continuing to devalue its currency? 4. Remember, the amount of silver eagles available
towards the end of 2015 were restricted and so to witness a sudden rush now in early 2016
does not necessarily mean that trend is going to continue.
5. Although US Silver dollars together with the Canadian Maple Leaf are the most widely
purchased silver coins does not necessarily mean that an increase in the sale of these
will also result in an equivalent increase (or at least proportionately) of the sale
of other coins and bars from other countries. 6. It is not unusual to see prices rises in
January only to fall back in later months – and this January has already witnessed
a rise and fall back in just 2 weeks. So with silver currently standing at $13.81
as we produce this video, we say ‘be cautious, be careful, be moderate’ and do not allow
yourself to be caught up in this ‘media frenzy’ which after all may only last a
short time. We hope you have found this video interesting
and informative and if so, please give it a thumb up and share it on twitter. Also kindly
visit our website regularly at www.illuminatisilver.com Disclaimer: Illuminati Silver owners come from a background
of Banking, International Wealth Management and Economics. Having now retired from these
worlds we are not qualified to give investment advice. Therefore, this and other productions
must not be deemed to be giving such advice and merely represent the personal views of