Storing cash

dumb_mother · Sep 27, 2011

Quote from DontMissTheBus:

(is that right? That it's due to a new haul of silver? I thought it was because of higher margin requirement in asian exchanges; but I could be wrong - I'm don't pay real time attention to the metals too much).

Assuming you are right (about the haul being the reason), your holding just got devalued (finding new silver == fed printing money). So not sure why silver is a safer store of value.

i think the raising of the margin req's was far more important than the silver bullion that was found in the sunken ship

silver is a safer store of value than us dollars (for the next 20 years is my horizon) because we print more money every single day and we only find more silver every once in a while. the total "new" silver mined each year adds less than 2% to the total silver supply- that is no where near as aggressively devaluing as the kind of monetary expansion we've witnessed over the last 100 years. also if you divided up all of the silver in the world to all of the people, it'd be less than 7 oz / person.

DontMissTheBus · Sep 27, 2011

Alright - I can understand the not-put-money-in-bank thinking (it's silly, but I can see why people would think that).

But then you think t-bill might be a good idea?? T-bills are issued by the same entity that guarantees your bank deposit - might be a good idea (only if they don't require to be put somewhere?? you do realize all securities, which tbills are, are in book form, right?) - while deposits are not.

That's why I'm calling you an idiot.

Quote from achilles28:

Its very smart to keep cash out of the banking system. Only douche-bags like you keep their entire networth safely on deposit at C

DontMissTheBus · Sep 27, 2011

Morganist was referring to the silvers found in that ship - on the bottom of the sea... not sure why that would impact the market at all...

On your second point - scarcity is not the only (or even the most important) attribute for what makes good 'money'

Quote from dumb_mother:

i think the raising of the margin req's was far more important than the silver bullion that was found in the sunken ship

silver is a safer store of value than us dollars (for the next 20 years is my horizon) because we print more money every single day and we only find more silver every once in a while. the total "new" silver mined each year adds less than 2% to the total silver supply- that is no where near as aggressively devaluing as the kind of monetary expansion we've witnessed over the last 100 years. also if you divided up all of the silver in the world to all of the people, it'd be less than 7 oz / person.

achilles28 · Sep 27, 2011

Quote from DontMissTheBus:

Alright - I can understand the not-put-money-in-bank thinking (it's silly, but I can see why people would think that).

But then you think t-bill might be a good idea?? T-bills are issued by the same entity that guarantees your bank deposit - might be a good idea (only if they don't require to be put somewhere?? you do realize all securities, which tbills are, are in book form, right?) - while deposits are not.

That's why I'm calling you an idiot.

Learn how to read, Corky. That's exactly what I said at the end of my post.

And the FDIC doesn't insure Treasuries, dipshit. Treasuries are underwritten by the future taxing power of the United States Government. Bank deposits are capped by the FDIC. Anything else?