Eric sprott.."I personally believe that gold has hit it's bottom,...classic sign of a bottom" [speaking with Patrick MontesDeOca]

CPI ADJUSTED SILVER PRICE

Silver is still below both the 1980 nominal high of $50.00/ounce and the CPI inflation adjusted price of 1980 which is equal to $125.74/ounce.

Chart source: http://www.sharelynx.com/chartstemp/FreeGoldSilverCPI.php

60% silver correction. Would this then be the low?

Using 49.80 as the high and 19.40 as the low, that would be a 61% correction in silver. This correction then would be approximately the same depth (60.5%) as the 2008 remarkable drop. So 19.40 should provide a stout support with many traders and investors stepping in at this price. Could it go lower than this? Given the suspicious price discovery mechanism at the COMEX, I have no doubts that it could, but surely the strong physical demand from China and major central banks of the world will put a floor or limit the downside? We have to wait and see.

The other possibility is, we don't see below 20.00 and we see a turn around from here. Time will tell.

Silver & Gold - The BIG Picture - Mike Maloney

"By the way we did a study on the true price of silver coming out of the ground. It is about $20 per ounce. It varies mine to mine but that is a good all in cost for now. Mid year 2013." silver-investor.com [David Morgan]

The Macro View: Gold for the long run [DarienTimes.com; By James Rickards on May 25, 2013]

James Rickards is a hedge fund manager in New York City and the author of “Currency Wars: The Making of the Next Global Crisis” from Portfolio/Penguin

This article as it was for me, will be for you, provide some comfort if you have invested in gold and silver during the down cycle of the past two years...

Please click on the link provided below:

http://www.darientimes.com/20199/the-macro-view-gold-for-the-long-run/