Message Font: Serif | Sans-Serif
 
UnThreaded | Threaded | Whole Thread (6) | Ignore Thread Prev | Next
Author: dbadgero Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 26  
Subject: Re: PAASF Date: 6/14/1997 7:00 PM
Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Recommendations: 0
I too have only been thinking of buying PAASF. It looks to me like a well run company, but it seems to be a pure metals play(primarily silver). Their last quarter they showed a small profit for the first time which at current silver prices isn't bad. If you think silver is going up this stock should have a big gain. Which brings me to my question. Have you ever heard of a "metals contract"? I read somewhere on the info-superhighway that they are what is keeping metals prices depressed. Apparently it goes like this: A central bank "loans" their silver to someone in return for a small interest payment with the understanding that this silver will be returned. These metal loans depress the price of the metal because the central banks are putting so much of the shiny stuff into the supply stream. The problem with this is that most of this metal is being consumed and therefore can not all be returned. Story goes demand is exceeding new supply by about 150 million ounces a year. In three to four years, depending on whose estimates you believe, inventories will be depleted and the law of supply and demand will force silver up big. Does anyone out there know if this is really what's going on or are me and my "source" missing something?
Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (6) | Ignore Thread Prev | Next

Announcements

Foolanthropy 2014!
By working with young, first-time moms, Nurse-Family Partnership is able to truly change lives – for generations to come.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Post of the Day:
Macro Economics

Looking at Currency Ratios
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement