Do not fear what you may think as a bubble. It just "AIN"T so...

Greetings Collectors,

All of us have been following the meteoric rise in the materials our "beloved" coins are made of. This has me, as I'm sure, most of you, in a questionable position. I can say that of all the investments I have made over the years, that which I never really classified as an investment, has turned out to be the "most profitable" investment, at least on paper. I have tried to recall just what was my "mindset" when I decided to start buying gold coins, and gold in general with a vengeance. I started in the mid 80's and ramped it up many notches in the early 90's. I guess it was just the fact I liked collecting things. Things I liked, things that I viewed as having "staying power" and those that would continue to increase in their worth. Passion is the best word to use when it comes to describing the way I went at mostly gold, but silver as well. My farthest memories go back all the way to the mid 70's when I can remember using my trusty "triple beam" scale to weigh items that friends and relatives were hell bent on getting shed of. I will not say why these scales were originally bought but most of you "boomers" know exactly why I had them. But buying I did, and this has continued for all these years, never selling, always acquiring and not just timidly or periodically, but with a "passion & a vengeance". Now we are here in the present. Am I glad I did this? Hell yes I'm glad. It's almost like I can hear that voice crying out in the night to my ex-wife, "I told you this was a wise thing to do". But if I had it to do all over again, I may have done it a little differently, maybe being a little more secretive so as to not let the other half know the extent of the purchases. But alas, I could not be happier at this moment and space in time. Now is the question, where do I go from here???

This rise in gold and silver from all that I have read and all of those that are in the know, does not resemble a bubble. In fact the rise has been slow, steady & orderly. When gold hit its previous record on Jan. 21st 1980 where it closed at $825.80, that was a mass stampede, a free for all if you will. Silver at $50 was a farce. A manipulative figure brought on by a couple of overweight Texas brothers who thought they needed yet "one more boat to ski behind". And after this rise and then crash, most said they would never be burned/fooled again. (just had a flashback to the "WHO") Again, you boomers know of what I speak. Anyway, this rise has so many more factors working with it, around it & beside it that the statement I made several months back in a previous post when I said that we would all look back and remember when gold pushed through $1000 and there was a short time when it could have been bought between $1000 & $1100. Do any of you recall that? Bottom line, gold is still cheap. It doesn't seem that way but it is. To just equal that $825.80 figure, taking inflation into account, gold should be $2163.62 today. I just checked and gold this minute is $1379 even and silver is $24.52. Both have been higher today but that's where the two sit at present. Remember that "ratio" of gold to silver I refereed to in a couple postings ago? I seem to remember 58.7 In just these last few days, less than a week, that ratio has dropped to 56.2 This is huge. And as much as I still like gold, my financial situation will not allow me to buy even a single ounce. I have what I have and I'm just "tickled pink" to be where I am right now.

But having said all that, and liking gold the way I do, where every one of us needs to be, is in "SILVER". This ratio will continue to narrow 'til it gets back close to where it was 100 years ago and that is 20 to 1 silver to gold. This affordable white metal is used in so many things that in the past, it was not used for. And unlike gold, the vast majority "CAN NOT" be reclaimed. Once it's used, it's gone. Gold however is for the most part, "re-claimable". Right now there is an opportunity that is "ground floor" in the making. I beseech each and every one of you to begin to acquire as much of this white metal as you possibly can. Have a garage sale, sell clothes you can't fit in anymore, get a part-time job (if you can find one) and just make it a point to use all of the proceeds to buy silver. I'm even thinking of selling my boat and put the proceeds into silver. (well, maybe not my boat...)

$30 silver is a foregone conclusion. The $1500 gold and $30 silver I spoke of recently that would/should occur by years end. We may be there by months end. As I have said before, this ride is just beginning and we all have the precise moment in time to take part and profit from yet another gold/silver rush. Believe me, I study markets like no other I know personally, and when I get to the point that I'm pretty sure about something where I would almost "bet the ranch", I "DON"T" bet the ranch but I do give the thought serious consideration. I think the most affordable way to take advantage of the economic times the entire world is facing is to buy "low premium" (cost over the actual silver content) 40% silver Kennedy halves. They were pulled out of circulation almost at once, thus they still retain all of their silver unlike 30% war nickels and Walker and Franklin halves. The 90% Kennedy halves are good too but now at around $200 per roll, there are many of us that can not afford them. "Parts is Parts (another "old saying" that some of you remember) and silver is silver. Sterling silver is usually 920 or 950 meaning that it is very close to pure silver, as in 92% or 95% which in that, it beats out any 90% coin silver around. I ask all of you to think about jumping on this silver train, before it gets too far out of the station. Once it leaves the station, that doesn't mean you can't still board, it just means your ticket will cost you more.

Starting with this post, and forward I will share this steady, orderly, downward figure of the ratio of silver to gold which is at this moment. Wait and let me check... 56.265 to 1

And to the question as to "Where to I go from here?" Well I'm sure not selling. If I did, I would be leaving a "pile" of money on the table. And I sure can't have that.

Happy Collecting/Investing

WKF

P.S. This pic is synonymous with the statement "Honest Value Never Fails".