Way too cheap - about the undervaluation of Gold & Silver

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Wouldn’t it be wonderful if we could purchase in advance all the commodities we are going to use throughout our lives? This way we wouldn’t need to worry about inflation. Unfortunately, this is impossible. Food products such as wheat and rice have a limited shelf life, and can only be stored for several years. Other commodities such as crude oil or natural gas are hazardous, and cannot be stored at home in large quantities. Furthermore, in order to do so we would need a large storage area, which most people simply don’t have. Instead of storing the physical commodities, we could purchase futures contracts, which allow us to “lock in” the current price, and protect ourselves from any future price increase. However, there are costs associated with holding those contracts, and most people are not sophisticated enough to do that.

There is only one kind of commodity which is practical to store at home, is compact enough to fit into a small safe, and has an unlimited shelf life. I am referring of course to the precious metals gold and silver. This is the only way for the average person to get a direct exposure to the commodity sector, without the need of an intermediary such as a broker dealer. This is why they tend to outperform during times of high inflation. I argue that they are just as undervalued as crude oil or wheat, and therefore have the potential to protect us from the price increase of the commodities which we consume on a regular basis.

In this video we will demonstrate the overvaluation of the stock market nowadays, and the undervaluation of commodities, and especially the precious metals, gold and silver.

Music: Cinematic Melody (Main) by Daddy_s_Music