Ted Butler - The Silver Story

[MetalMeister]

From this past weekend's Silver Summit...  Excellent history and future investing lesson!

Silver; Past, Present, Future - Phoenix Silver Summit Speech

It is this simple fact, that the relative price of silver compared to gold is so distorted, relative the their respective quantities in existence, that is all anyone needs to know to buy silver. This is not a knock on gold. I will stipulate to and accept as true every bullish argument that anyone could make on gold. You could spend hours or days lecturing me on all the good things that gold has going for it, and I will accept them without dissent. When you are done giving all the bullish gold arguments, I would just add two things. One, all those arguments apply to silver as well, and two, there is less silver than gold.

[onlooker]

Who is Hugo Salinas ?

Wallace, Idaho – Hugo Salinas-Price, author and father of the movement to restore silver as money, will keynote The Silver Summit 2009 conference Sept. 24-25 in Spokane, Wash., at the historic Davenport Hotel.

Mr. Salinas-Price, who hails from Mexico City, Mexico, has crusaded for the re-monetization of silver since he wrote his first book, “Silver: the road for Mexico,” after the 1995 devaluation of the Mexican peso.

See:  Hugo Salinas-Price will Keynote The Silver Summit 2009  July 30th, 2009
http://www.thesilversummit.com/news/hugo-salinas-price-will-keynote-the-silver-summit-2009

He gave a video talk on his view on silver.  In part 2, he says that Mexico has produced a 24 gram silver coin.  In beginning of part 3, he says that Mexico has about 21 million of these coins.

See:  Part 1
http://www.youtube.com/watch?v=k7DHz6O1xPo

Part 2
http://www.youtube.com/watch?v=mb_6pruXOU0

Part 3
http://www.youtube.com/watch?v=PBw56tE-0gw

When gold goes up, then silver will come in play.  But, if it is known that Mexico has 21 million of these coins available for circulation (todate, the Mexico government is still not positive on Mr Hugo Salinas-Price's proposal), and combined with China's recent video of abundance of silver bars for sale to the chinese masses; would the silver shortage story become an out dated myth?

Or, will Mexico suddenly realize that it is richer than it thinks ?

In the 1930s depression, gold did very well, not silver.

For 2009 and beyond, will silver do well?

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