Silver is really cheap, relative to pretty much every other asset.
A thread.
(1/7)
Silver divided by the broad stock market, is as cheap as it has ever been, going all the way back to 1904.
I have indicated extremes, where appropriate, in each chart.
#silver #silversqueeze
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When the price of Silver is compared to the total US debt, again, the metal is as cheap as it has ever been, going back to 1970.
Even when the price hit $50 in 2011, silver got nowhere near to covering as much of the US debt, as was covered back in the 1980's peak.
(3/7)
Comparing the price of silver to the broad M2 money stock shows that the silver price is covering as little of the US M2 money supply as it ever has. Our perception of silver is distorted.
If silver were to back US money, this ratio would need to be much, much higher.
(4/7)
Silver when compared to the price of copper is as low as it was when the most recent millennial bull run first began. Copper is a widely used industrial metal and it's price fluctuates with economic activity. Silver is still undervalued relative to "cheap" copper.
(5/7)
Silver when compared to the price of crude oil, is nearing the cheapest it has ever been going back to 1970. Considering the massive bull run oil has been on lately, and if high oil prices are here to stay, then silver needs to rally to keep up.
(6/7)
US family home prices when compared to silver, gives us how many oz's of silver are required to buy a home. 17,000 oz are currently required to buy a home, compared to 1980 where you only required around 2,000 oz. The value of silver is being distorted.
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When compared to the 1970's, the silver to gold ratio average was much higher than it is today.
Silver is about 20x less rare than gold when considering how many parts per million of the metal is contained in the ground and a ratio of 0.05 therefore seems reasonable.
@WallStreetSilv @NorthstarCharts @badcharts1 @stebottaioli @TheLastDegree @mike_maloney @iGlobalGold @GoldTelegraph_
Any additional thoughts on the above boys?
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