why investors are buying silver ..., page-15

The last silver spike (1980):

Median US house price approx $75000
Median US household Income approx $18000
First Class US Stamp price $0.15
Gallon of milk $2.00
Gallon of Petrol $.125

Silver peaks at $50oz

This silver spike (2011):

Median US house price approx $200000
Median US household income approx $50000
First Class US Stamp price $0.44
Gallon of milk
Gallon of petrol $3.50

Silver peaks at $120-$150oz?

Or does inflation not apply to the price of silver? It certainly didn't between 1985 and 2005...

In reality the fundamentals driving the current silver price spike are different to the last one, so I really shouldn't be making this comparison at all, that and the fact that anyone trying to get physical is paying WAY more than the distorted paper market mean there's plenty of upside potential yet.

That said I'm still to be convinced that industrial demand is a factor in the current upswing - almost all investor sentiment i'd say, which means volatility and a crash in price will still arrive at some point, just not for a while yet IMO.