Now is a great time to purchase silver coins, mainly because the price of silver is undervalued. Historically, the price of silver decreases when the economy is running strong. However, in the current case, the price of silver is low because its value is not being recognized by the markets. This devaluation of silver results in low silver prices, which equates to reasonable prices for silver coins.
Since the government has begun printing more money, investing in silver coins represents a profitable and secure move. Like gold, silver serves as a safe alternative to currencies that are being devalued. People are still very skittish about the economy, which seems to be struggling to rebound. They are looking for a place to put their money, a place that will still be worth something if the economy tanks. For many of them , silver coins represent that place.
Thus far during 2010, monthly silver bullion coin sales have topped three million ounces three times. If sales keep with the current pace, the supply of these bullion coins will run out. Like other investors, I am not waiting to see if that happens. I am adding to my coin stockpile now and not looking back. I do not want to bet on the fact that the government will find a way out of this mess anytime soon.
Investors like me who buy gold coins or silver coins will have something of value if the currency system collapses. We can exchange these coins for desired goods and services. The coins have, and should always have, an intrinsic value.
What will happen with the economy is anyone’s guess and the predictions change on a regular basis. I would prefer not to wager my life’s savings in other investments. I am putting some money into silver coins while the price is right.