Today there's a lot of interest in precious metals as a hedge against economic uncertainty. The answer to the question: 'How much is silver worth?' can help you decide if investing in coins or bars of this precious metal is right for you and those you must provide for.
Gold and other valuable metals rise and fall in value according to various economic and social conditions that exist worldwide. It's important to understand these forces and their effects, just as you would want to understand how the stock market operates and why stock prices move up and down. Metals are traded - bought and sold - on the commodities market; they are tangible assets rather than shares of ownership in corporate entities.
Precious metals are marketed in the form of bars, called ingots, or in the form of coins. There are also jewelry and other items, like sterling silverware table settings. Ingots are valued according to weight, while coins and other items have intrinsic value - the weight of pure metal in them - and may also have added value because of their history, their rarity, or their condition.
The 'troy ounce' has been used to weigh silver for centuries. This system, developed in France during the Middle Ages, sets twelve troy ounces to a troy pound; these ounces are slightly heavier than the ones used to weigh sugar or flour. Ingots range from 100 troy ounces to 5,000.
Prices for precious metals are very volatile. They are affected by consumer confidence in the dollar (the world reserve currency), by politics, by supply and demand, and by the value of other world currencies. If the dollar is 'weak', precious metals will be 'strong'. People who buy these metals for investment hope to be able to buy cheaply and sell when prices are high, thereby reaping a profit.
Many people today are not looking at only investment potential, however. They feel that a hoard of ingots, coins, or other items might offer protection in times of emergency. For this reason, some prefer to buy coinage, which is a recognizable form of exchange and mote likely to be accepted by those selling necessities, rather than ingots or gold rings. For emergencies, some survival experts recommend 'junk-silver'.
'Junk-silver' is what coin dealers call American coins with merely intrinsic value. Their worth is calculated according to the weight of precious metal in them. Dollars, half-dollars, quarters, and dimes dated before 1965 are 90% pure. On troy weight value, a dollar would be worth over $10 on today's market. Some survivalists recommend having $1,500 worth of 'junk' for each member of the family, to be used in case of an emergency to buy necessities.
Investing in precious metal might be a good idea, depending on your objective. As an investment to be bought and sold, metals are more volatile and risky than stocks might be. However, economic conditions can make metals more attractive and less likely to drop in value. As an emergency asset, they might be even more valuable in hard times.
Gold and other valuable metals rise and fall in value according to various economic and social conditions that exist worldwide. It's important to understand these forces and their effects, just as you would want to understand how the stock market operates and why stock prices move up and down. Metals are traded - bought and sold - on the commodities market; they are tangible assets rather than shares of ownership in corporate entities.
Precious metals are marketed in the form of bars, called ingots, or in the form of coins. There are also jewelry and other items, like sterling silverware table settings. Ingots are valued according to weight, while coins and other items have intrinsic value - the weight of pure metal in them - and may also have added value because of their history, their rarity, or their condition.
The 'troy ounce' has been used to weigh silver for centuries. This system, developed in France during the Middle Ages, sets twelve troy ounces to a troy pound; these ounces are slightly heavier than the ones used to weigh sugar or flour. Ingots range from 100 troy ounces to 5,000.
Prices for precious metals are very volatile. They are affected by consumer confidence in the dollar (the world reserve currency), by politics, by supply and demand, and by the value of other world currencies. If the dollar is 'weak', precious metals will be 'strong'. People who buy these metals for investment hope to be able to buy cheaply and sell when prices are high, thereby reaping a profit.
Many people today are not looking at only investment potential, however. They feel that a hoard of ingots, coins, or other items might offer protection in times of emergency. For this reason, some prefer to buy coinage, which is a recognizable form of exchange and mote likely to be accepted by those selling necessities, rather than ingots or gold rings. For emergencies, some survival experts recommend 'junk-silver'.
'Junk-silver' is what coin dealers call American coins with merely intrinsic value. Their worth is calculated according to the weight of precious metal in them. Dollars, half-dollars, quarters, and dimes dated before 1965 are 90% pure. On troy weight value, a dollar would be worth over $10 on today's market. Some survivalists recommend having $1,500 worth of 'junk' for each member of the family, to be used in case of an emergency to buy necessities.
Investing in precious metal might be a good idea, depending on your objective. As an investment to be bought and sold, metals are more volatile and risky than stocks might be. However, economic conditions can make metals more attractive and less likely to drop in value. As an emergency asset, they might be even more valuable in hard times.
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