Gold & Silver Soaring: Why Now Is the Time to Invest
- JVargas
- Sep 1
- 3 min read
Silver just surged past $40 per ounce - a level not seen in more than a decade - while gold continues to climb. This isn’t just a short-term rally; it’s the result of strong fundamentals and shifting economic conditions that make precious metals one of the smartest plays right now.
Why Silver Is Booming — and Why It Matters
Industrial Demand Meets Supply Crunch
Silver is more than a shiny metal . It’s essential for solar panels, electronics, AI technology, and even military applications. Demand is hitting record highs while supply has been falling short for several years. This ongoing deficit is a key reason prices are being driven higher.
Undervalued Compared to Gold
The gold-to-silver ratio is historically very high, meaning silver is undervalued compared to gold. If this ratio normalises, silver prices could move significantly higher, creating an attractive opportunity for investors.
Hedge Against Dollar Weakness
Gold and silver traditionally perform well when major currencies (including the Australian dollar) weaken. With global markets expecting interest rate cuts and economic slowdowns, precious metals act as a solid hedge against declining purchasing power.
Why Peter Schiff Is Bullish on Silver
Former stockbroker and economist Peter Schiff has been outspoken about silver’s potential. He believes that silver is overdue for a catch-up move relative to gold and has been encouraging investors to buy before the broader market catches on. His stance is simple: precious metals are one of the few ways to preserve real wealth in today’s economic climate.
Why It’s Smart to Start Building Your Position Now
Protection Against Inflation – Silver holds its value while paper currencies lose purchasing power.
High Upside Potential – Because silver is overlooked, price gains can be sharp when investors return to it.
Portfolio Diversification – Silver tends to move differently from stocks and bonds, reducing overall risk.
Accessibility – Compared to gold, silver is still relatively affordable, allowing you to build a position gradually.
Why Big Funds and Media Rarely Talk About It
Most large fund managers avoid silver because of its volatility and storage challenges. It also doesn’t generate fees like managed funds or equities, so it’s rarely a priority for Wall Street. Meanwhile, mainstream media tends to focus on stocks, property, and crypto (leaving silver largely ignored), which can work to your advantage if you get in early.
Why I’ve Been Accumulating Silver Slowly
"Personally, I’ve been adding silver to my portfolio bit by bit over the past few years. I use cost-averaging to smooth out price swings and treat it as a long-term wealth hedge. It’s my way of protecting against inflation, diversifying beyond the stock market, and positioning for the potential upside I believe is coming."
Silver vs. the Australian Dollar
For Australian investors, silver has another benefit: if the AUD weakens, silver becomes even more valuable in local terms. This double effect, (global price gains and currency weakness) can significantly boost returns.
Bottom Line
Silver and gold are not just old-fashioned investments; they’re powerful tools for preserving and growing wealth when markets are uncertain. With silver breaking out and gold remaining strong, now is an ideal time to start or build your position.
I believe we are at the beginning of a major move, which is why I’ve been quietly building my exposure for years. If you’ve been thinking about adding precious metals to your portfolio, don’t wait - start small, build consistently, and be ready for when the rest of the market finally notices.
Till then take care!
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