Silver Squeeze? Next Gamestop or Fundamental Bet?

Silver fundamentals are stronger. No need to bet on squeezes.

Monetary insanity will keep silver and gold as good opportunities.

Difference between physical price and financial market price justifies buying.

Gamestop may have been fun for some small investors, but the risk of buying into a short-squeeze with no real fundamental valuation backing is a risky move.

On silver, a long position is warranted by the fundamentals of supply and demand.

In a world where currency debasement is now widespread, where many emerging market currencies are depreciating against the US dollar even in a period of dollar weakness, what we are living is fiat currency debasement, and as such, gold and silver are very attractive long-term options for institutional and small investors.

Unless you expect global monetary policy to move into contraction, which I find impossible, the best way to diversify a portfolio with highly correlated equities and bonds is to own gold and silver.

About Daniel Lacalle

Daniel Lacalle (Madrid, 1967). PhD Economist and Fund Manager. Author of bestsellers "Life In The Financial Markets" and "The Energy World Is Flat" as well as "Escape From the Central Bank Trap". Daniel Lacalle (Madrid, 1967). PhD Economist and Fund Manager. Frequent collaborator with CNBC, Bloomberg, CNN, Hedgeye, Epoch Times, Mises Institute, BBN Times, Wall Street Journal, El Español, A3 Media and 13TV. Holds the CIIA (Certified International Investment Analyst) and masters in Economic Investigation and IESE.

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