What are today’s best Silver investment products<br />Mint State Gold - Weekly Market Report 10/24/16

| October 24 2016

Links to recent informative articles on precious metals and rare coins:

Jewelers see festive demand rising 10-20% this year

China Gold demand to stay firm at 900-1,000 tones in 2017

This Week’s Headlines:

Gold
Growth in US M2 Money Supply leads to much higher Gold price
Silver
What are today’s best Silver investment products?
October 2016 CoinStats is now available
Recommended Investment Commitment and Diversification

GOLD

It appears that after the October $65 selloff, Gold bottomed out at $1,246.90 on Friday Oct 14th. During last week, Gold traded above the important $1,270 resistance level twice, but couldn’t hold, and closed the week at $1,267.70 per ounce. Gold was up $12.20 for the week on light trading volume and up $207.40 (19.56%) for 2016.

Precious metal professional traders continue to wait for economic or election news to give these markets short term direction. I truly believe, regardless of who becomes our new president, that the only direction Gold has is to go higher. Read the article Gold Crosses Party Lines about former Congressman Ron Paul’s views.

Last week, the U.S. Dollar Index hit a 7-month high versus the Euro and Yen, and Gold rallied 1% in spite of the higher dollar. Normally, if the U.S. Dollar moves higher, Gold moves lower, but Gold’s recent strength is overshadowing this past trend. I believe the precious metal markets have already figured in both the election results and a quarter point increase in interest rates by the Federal Reserve in December. I still look for a sizeable gain in the Gold and Silver prices before the end of the year.

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Growth in US M2 Money Supply leads to much higher Gold price

The U.S. M2* money supply is accelerating, doubling from 6.5 billion to 13 billion in the past 10 years. After growing at 6% for the last couple of years, it has now grown at 8½% for the past six to nine months. One of the primary reasons for this extraordinary growth in money supply is entitlement spending. U.S. entitlement spending has been increasing at a yearly rate of 9% since 1965. This type of growth in money supply is a sign that serious inflation and much higher Gold prices are coming within the next 18 months. For more info on M2 Money Supply, read the Fiat Money Quantity & $11,000 Gold article.

With today’s extraordinary opportunity to increase your precious metal holdings at what I believe to be a bargain price, it is important for my clients to understand that the long term fundamentals for Gold and Silver have never been so bullish.

* M2 is a measure of the money supply. M2 includes all elements of M1 (M1 is cash and checking deposits) as well as assets that are highly liquid but are not cash (i.e., savings deposits, money market securities, mutual funds, etc.) M1 and M2 are closely related and economists like to include the more broadly defined M2 when discussing the money supply, because modern economies often involve transfers between different account types.

Today: Gold opened unchanged in Asia and traded in a narrow $10 range as it moved into the Middle-East and Europe. $1,260 per ounce is showing to be an excellent support level.

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SILVER

Silver closed above and below the important $17.50 per ounce level all week. Silver ended the week at $17.49 per ounce, up $0.05 per ounce for the week on light trading volume. At this level the Silver price looks very attractive, since the trend is higher with Silver up 27% since the beginning of 2016. The Silver/Gold ratio increased to 72.47-to-1.

Today: Silver reached a high this morning of $17.89 per ounce before seeing some short- term profit taking. Silver continues to trade between $17.50 and $18 per ounce as it waits for some news to break out of it’s range.

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What are today’s best Silver investment products?

Short term (six to 18 months):

Silver .999 1 ounce Trade Units

Silver .999 1 ounce Silver U.S. Eagles

Silver .999 1 ounce Silver Canadian Maple Leafs

Long Term (18 months or longer):

Rolls of 20 Brilliant Uncirculated 1922/23 Peace Silver Dollars

Rolls of 20 Brilliant Uncirculated 1879 to 1904 Morgan Silver Dollars

Certified (PCGS/NGC) Investment quality graded Morgan Silver Dollars & Peace Silver Dollars

(Current prices on the above is available at www.mintstategold.com)

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October 2016 CoinStats is now available

Our numismatic CoinStats report is the best investment tool for rare coin investors. CoinStats is an in-depth statistical analysis of popular rare coin series that allows you to identify the best values in certified rare coins. I am proud to offer this unique and informative tool exclusively to our clients. CoinStats has been updated for October 2016 and is now available. Six different series are available: $20 Gold Saint Gaudens, $20 Gold Liberties, $10 Gold Indians, Morgan & Peace Silver Dollars, and the Walking Liberty Half Dollars.

The CoinStats report provides a list of my recommended certified U.S. Gold and Silver coins which are found listed on the Best Value page. These are not the modern issue bullion coins or low-grade circulated coins. These are PCGS/NGC certified MS63 or higher Gold and Silver U.S. rare coins, dated prior to 1948, which have a proven track record of appreciation and also offer excellent liquidity. To receive the latest CoinStats analysis, just put the word CoinStats in the subject line and email me which of the six series you would like to see.

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Recommended Investment Commitment and Diversification:

Precious Metal commitment: Minimum of 30% of investment capital

Diversification: Gold 50%, Silver 40%, Platinum & Palladium 10%

Diversification includes 50% in long term investment quality rare coins and 50% short term bullion products.

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If you want to be updated on what is happening in the Gold, Silver, and Rare Coin markets any weekday, our company offers a daily blog Monday through Friday at www.stupplerblog.com

All statements, opinions, pricing, and ideas herein are believed to be reliable, truthful and accurate to the best of the Stuppler & Company’s knowledge at this time. Stuppler & Company disclaims and is not liable for any claims or losses which may be incurred by third parties while relying on information published herein. Individuals should not look at this publication as giving finance or investment advice or information for their individual suitability. All readers are advised to independently verify all representations made herein or by its representatives for your individual suitability before making your investment or collecting decisions.

Categories: Weekly Market Report