"All time highs": are they really?

[JohnA1]

I find amusing this notion of "all time highs"

Silver was (say) £28/oz in 2011 and now £20, so it's got a lot of way to go towards the all time high.

Really?

How much butter could you buy with 28 squid in 2011 and how much now? 4x less?

Same with gold.

Adjusting prices using *real* inflation figures is rarely (if ever) done. Hell, it's rare to even find inflation-adjusted figures using the comical official numbers.

Even this one is misleading, as the official figures in the US have been heavily fudged since 1980:

https://www.macrotrends.net/1333/historical-gold-prices-100-year-chart

In the UK the real CPI must be at least double what they claim, occassionally quite a bit more

 

PMs are being grossly undervalued in my view, especially during the past 40 years - progressively more and more

Anyone else has the same feeling?

[SidS]

So the question is, will metals continue to stay undervalued (disinterest or manipulation, you chose) or will they eventually align correctly?

My feeling is the former - there's so much manipulation of the various official figures that no one knows where the truth is any more anyhow.

[JohnA1]

Ah, but a lot of the 'disinterest' is caused by the manipulation.

A rational 'investor' will look at the price history in the past few years and decide it's not worth it. I think this is far more effective than the so-called confiscation of 1933 (only 25% was probably handed in) because it relies on peer pressure and makes rational thinking work in favour of the agenda.

We know holding PMs is technically not 'investing' since there is no yield.

Crypto-friendly dudes often ask "why don't PM prices reflect the money-printing?" and no answer can be given definitively. So they rely more on tatoos and cold wallets..

[Stacktastic]

Yes IMO very much so with the markets. 
Metals no way - I can see potential increases coming up. 

Edited April 13, 2023 by Stacktastic