Last week, as part of our Y-Series, we discussed the question “Why buy silver?” and listed 8 reasons why silver is currently particularly attractive. In response, one of our clients and subscribers sent us an excellent graph, demonstrating yet another reason: Silver price is at an all-time low.
Thank you for sending this over; it is insightful indeed!
John Williams of ShadowStats.com published the following graph depicting inflation-adjusted silver prices since 1970. In essence, John’s price calculation applies the CPI formula used in the US in 1980.
Inflation-Adjusted Silver Price, based on 1980 CPI Formula (USD, June 2017)
The picture above is highly illustrative: Measured in 1980 dollars, i.e. adjusted for inflation according to the 1980 standard, silver is now selling below its 1970 price!
Savvy investors will immediately recognize the opportunity: not only is silver historically “undervalued”, it also promises significant upside potential. Add all the other reasons discussed in last week’s blog post on why to buy silver, and a strong case for buying silver NOW becomes apparent.