you're watching silver News Daily subscribe for more did you know the world is sitting on the edge of the largest financial bubble in history experts say when this bubble bursts it could bring chaos to Global markets but there's one metal Prime to thrive in the storm silver in this video we'll uncover why silver could Skyrocket to unimaginable Heights as the credit system collapses trust me you don't want to miss this let's dive in I think the first thing to to understand understand
and this is this is a point that actually the central banks understand is that it's not going up it's it's not gold going up its currencies going down so that's the first thing to and it's a very very important distinction the Bank of China for example you think it's buying gold no the emphasis is that it's selling dollars and it's selling Euros um and other central banks are doing the same thing I mean they're not necessarily saying that the whole thing is going to fall apart what they're
saying is that there is now a greater risk in paper currencies so we need to adjust our reserves accordingly and so that's what they've been doing there is also a geopolitical element in it because they can see that uh Russia and China have accumulated large quantities of gold if you're a member of the Shanghai cooperation organization or an affiliate or an associate um dialogue partner I think is the term as well then you know in various meetings um you will have discussed gold with um you know
your opposite numbers and I know pretty well you know what the discussion is you know is likely to be it's it's likely to be you know that the West you know the dollar is is toast over time anyway we need to move away from the dollar because we don't want the American interference so um you know that actually could be rather nasty for the dollar so we need to have gold to protect our own currencies so you know the whole thing is there and also um if you go back to the um uh the St Peter St Petersburg
International Financial conference back in uh 22 um this was after the West had stolen Russian reserves to the tune of over 300 U million uh you know Putin said quite clear this is what these guys do to you you know so don't have your eggs in the western basket you be as independent as you can and furthermore if you got any gold in uh you know with Western central banks um in the Western Alliance um you know you would be wise to get it out so you can see that there is um a far greater understanding of the role of
gold in this current situation than there is let us say in Western financial markets they are beginning to learn and I mean I'm looking at gold as we're talking um I mean today is what the 22nd of for decades Global economies have been running on borrow time literally central banks and governments have been inflating a massive credit bubble through Reckless monetary policies trillions of dollars have been pumped into the system propping up stock markets fueling speculative Tech booms and encouraging governments to
accumulate staggering amounts of debt the result a house of cards that could collapse at the slightest Shake here's how it works a credit bubble is created when too much money is borrowed in spent without sufficient backing and real productive value cheap loans low interest rates and quantitative easing where central banks print money to buy government debt have created the illusion of prosperity but this illusion is unsustainable every borrowed dollar has to be repaid and as interest rates rise
the cost of servicing that debt becomes unbearable we've already seen morning signs bond yields essentially the interest rates on government debt have been crooking higher when bond yields rise it signals distrust in the financial system investors start demanding higher returns to the risk of lending money and this creates a dangerous domino effect Rising yields mean higher borrowing costs not just for governments but for businesses and individuals mortgages become unaffordable loans dry up and the
private sector starts to grow R to a hul this isn't just a theory experts like alas mclab have pointed out that the Global Financial system is teetering on the edge according to him this bubble is the largest in history far surpassing the infamous South Sea bubble or the8 financial crisis and the reason this bubble is so dangerous is that it isn't confined to one sector it's everywhere real estate stocks bonds and even crypto currencies when this bubble bursts it won't be a slow unraveling it will be a
Cascade equities will crash cryptocurrencies will lose their value and the credit system as a whole will seize up and the scary part central banks may not be able to stop at this time in previous crisis they slashed interest rates and printed more money to stabilize the system but with inflation already a global problem in interest rates need State how to fight it their hands are tied so what does all this mean for you it means that a financial storm is brewing and it's not a matter of if but when in times like these
history tells us that people flock to Safe Haven assets tangible real world Investments that can't be devouted by failing Financial systems and this is where silver begins to shine stay tuned because in the next step we'll dive into the history of credit crises and reveal why silver is consistently outperformed in moments of financial chaos also don't forget to subscribe for more insights into how to protect your wealth as this storm approaches now let's continue unraveling this critical story um well I don't know
it's going to slow down very rapidly that's for sure um and I I think I wouldn't rule out a crash because as soon as people begin to realize that interest rates are going to go up Ian at the moment apparently um you know one further cut is discounted in the FED funds rate is expected in the market later on this year I mean that's changed from two in this year they're now expecting one in in the third quarter apparently that's going to go that's not going to happen and when people realize
this and I think probably if when you see the ten year um US Treasury yield more than 5% everybody's going alarm bells and I think that's going to start collapsing the equity market and I think the collapse actually could be very very quick because everybody is in there they're in there up to their necks um you know and more leveraged as well um and of course the other thing is that all this stuff is the collateral for the banking system uh and um you know the FED is going to be in in a quandry
because um under those circumstances we want to cut interest rates I mean every time a bubble has sort of started rolling over the FED has cut cut cut cut but this time it can't uh it's not going to succeed I mean um you know if it cuts interest rates the initial consequence may not be fully understood by people but um the effect on the purchasing power of the currency will be anticipated by gold that is for sure gold will measured in any currency terms go far higher but actually what's
happening is It's Not Gold going up it's currency is going down and then you will see that you know uh the inflation problem is just getting worse and worse and worse um there will be a shift I think out of um industrial and tech stocks into mining stocks um and that again I think is likely to to uh you know sort of if you like create problems the sort of the move of capital out of equity markets into uh Commodities if you like and commodity producers uh I think is going to exacerbate the problem but that's you
know uh investment managers are going to realize that under these circumstances that is the place to be not in equities so you could see the switch happening really quite quickly to understand why today's Financial system is on such Shaky Ground we need to look back at past credit crisis and the rickle effects that created history has shown us time and time again that when credit bubbles burst they leave Devastation in their wake take the 2000 day financial crisis for example the collapse was
triggered by overleveraged Banks and risky subprime mortgage lending when people started defaulting on their loans the entire Financial system unraveled causing a domino effect that wiped out trillions of dollars in global wealth stocks crashed real estate values plummeted and countless businesses failed the Federal Reserve had to step in with massive bailouts and quantitative easing just to keep the system of float but here's what many people don't realize silver was one of the few assets that soared during this
time in the Years following the 2008 crash silver prices skyrocketed from Dollar 10 an ounce to nearly do 50 an ounce why because during Financial chaos investors turn to physical assets as a hedge against collapsing currencies and unstable markets if we go back even further we see the same pattern in the 1970s back then saag flation High inflation combined with stagnant economic growth ravaged the US economy the Dollar's purchasing power plundered and people lost faith in Fiat currencies silver along with gold became
a safe haven from 1971 to 1980 silver surged over 1,000% hitting a historic peep is the Hunt Brothers attempted to Corner the market fast forward to today and the warning signs are early similar like in 2008 Global debt levels or unsustainable and speculative Investments have pushed markets to record highs Rising interest rates much like in the 1970s are starting to expose the cracks in the system and just like in those crises people are beginning to question the long-term stability of Fiat currencies but here's where it gets even
more interesting silver is no longer just a hedge against economic collapse it's also an industrial metal vital to the technologies that drive our modern world solar panels electric vehicles 5G infrastructure these industries depend on Silver making it uniquely positioned to benefit even during periods of growth this dual role has both a monetary metal and Industrial necessity is why experts believe silver could be ultimate asset during the next financial meltdown when the credit bubble finally
bursts history suggests that silver could once again be a beacon of stability s sea of chaos but here's the question will the next Crisis be even bigger than 2008 with a stagflation of the 1970s and if so are you prepared to take advantage of Silver's historic role as say Safe Haven in The Next Step we'll explore why Silver's unique properties make it a hedge against collapsing currencies and critical resource in the Technologies of tomorrow don't forget to hit that subscribe button and share your
thoughts below what do you think will trigger the next Crisis let's keep going you can um it's it I mean particularly well both commercial and real estate uh will be undervalue will be undermined by uh Rising uh mortgage cost Rising Finance uh costs if you like um they''re been seen very much as uh an extremely profitable investment over long periods of time and uh I think that there's still that sentiment that you know if you've got bricks and mortar as they put it in English you know you're safe with bricks
and mortar in other words it's tangible it's real it's not some Airy fairy funny share or or whatever so uh you know you've got that sentiment but the problem is that the pricing of property does depend on the availability of finance and the cost of that finance and if the cost of the finance Rises then obviously that's going to impact negatively on property prices so I think that's that is also something that's going to happen so um you know that's going to be no Safe
Haven I'm afraid silver's value isn't just tied to its reputation as a safe haven in times of financial turmoil what makes silver truly unique and even more compelling than gold in some ways is its critical role in the modern economy silver is the metal of innovation it's growing industrial demand places it at the center of some of the most transformative Technologies of our time let's start with Silver's unparalleled electrical and thermal conductivity no other metal can match
its efficiency which makes it indispensable in the production of ronics smartphones computers and medical devices all rely on Silver components for their functionality with the global push toward digitalization and more advanced technology the demand for silver and electronics alone is expected to Surge but that's not all silver is a key material in renewable energy especially in the production of solar panels each photovoltaic cell the part of the solar panel that converts sunlight into electricity requires over Pace to
conduct energy as the world accelerates its transition to Green energy countries are investing heavily in solar power to reduce carbon emissions in fact according to the silver Institute nearly 10% of global silver demand now comes from the solar industry a figure that's only expected to grow then there's the electric vehicle a revolution EV rely on silver in their Battery Systems sensors and charging infrastructure on average each electric vehicle contains up to 50 g of silver with governments worldwide offering
incentives to promote EV adoption in major automakers pledging to phase out internal combustion engines the demand for silver in this sector is projected to Skyrocket and let's not forget Silver's use in medical applications its antimicrobial properties may it a critical component in wound dressings surgical instruments and even water Cur ification systems in a world increasingly focused on health and sanitation Silver's role in healthcare is more important than ever this combination of uses makes silver a rare
commodity with both monetary and Industrial demand and while gold is seen primarily as a store of value Silver's Dual Purpose nature gives it a unique Advantage during economic downturns its role as a safe haven drives investment demand during periods of growth in in ation it's industrial applications push prices higher so why does this matter right now because the silver market is experiencing a supply crunch unlike gold a significant portion of silver is consumed in industrial processes and
cannot be easily recycled meanwhile mining output has remained relatively stagnant creating a supply demand in Balance simply put silver is becoming harder to find just as its necessity is exploding the big question is can the silver market keep up with these growing demands or will limited Supply send prices soaring in The Next Step we'll explore how geopolitical tensions and the globalization Trends are amplifying Silvers appe as both a safe haven and an industrial Powerhouse stay tuned and let us know in
the comments do you f Silver's industrial demand Pay It monitor role in the coming years both commercial and real estate uh will be undervalue will be undermined by uh Rising uh mortgage costs Rising Finance uh cost if you like um they''re being seen very much as uh an extremely profitable investment over long periods of time and uh I think that there's still that sentiment that you know if you've got bricks and mortar as they put it in English you know you're safe with bricks
and mortar in other words it's tangible it's real it's not some Airy fairy funny share or or whatever so uh you know you've got that sentiment but the problem is that the pricing of property does depend on the availability of finance and the cost of that finance and if the cost of the finance Rises then obviously that's going to impact negatively on property prices so I think that's that is also something that's going to happen so um you know that's going to be no Safe Haven I'm afraid
while Silver's industrial importance and Safe Haven status are undeniable there's another Factor amplifying its potential for explosive growth the convergence of geopolitical tensions into globalization Trends these forces are creating an environment where silver is becoming more crucial and more valuable than ever let's break this down over the past few years the world has witnessed a significant shift toward the globalization the cid9 pandemic exposed vulnerabilities in Global Supply chains
and geopolitical tensions like the ongoing us China trade War and the Russia Ukraine conflict have accelerated the trend countries are now prioritizing energy Independence supply chain security and domestic production so where does ser fit into all of this first silver is integral to achieving energy Independence countries seeking to reduce their Reliance on fossil fuels are turning to Renewables especially solar energy the global push for clean energy is no longer just about combating climate change it's about National
Security governments recognize that renewable energy sources can insulate them from volatile Global oil markets and reduce their dependence on geopolitical Rivals silver being a critical component in solar panels is Central to this transition second trade tensions are disrupting the global flow of goods including precious metals export restrictions and tariffs are becoming more common making it harder to Source materials like silver for instance proposed us tariffs on Chinese made solar panels and batteries
could further complicate Supply chains potentially driving up costs and creating shortages in the silver market third central banks are stockpiling precious metals to head against the instability caused by geopolitical risks in 2024 Central Bank gold purchases hit record highs and many experts believe silver is poised to follow suit the reason silver is often referred to as the poor man's goal offering the same Safe Haven benefits at a more accessible price point but there's another layer to
this story Rising tensions over critical materials silt isn't just a precious metal it's also a strategic resource essential to Modern Technologies as nations compete for dominance in Industries like Renewable Energy electric vehicles and Telecommunications securing access to Silver will become increasingly vital this could spark a new era of resource nationalism where countries hoard critical materials to protect their interests what does all of this mean for investors a perfect storm is brewing
on one hand geopolitical instability is driving demand for silver as a safe haven asset on the other de globalization and resource competition are tightening Supply chains creating upward pressure on prices the question now is how long before these forces push silver to Historic highs in The Next Step will delous Silver's advantages over gold and why it's often referred to as the people's medal plus we explore the growing recognition of silver's value among the institutional investors don't
forget to comment below how do you think geopolitical tensions will impact Silver's price in the near future let's keep unraveling this story I Me by inflation what we mean actually is a decline in the purchasing power of currency and that's going to continue um so as to where we are in this bubble I think we're on the verge of it beginning to collapse I mean I think it's topping out what will make it collapse is the next rise in bond yields um at the moment having had a bit of a rise uh they're
consolidating they've come back a little bit they will go higher again and as they go higher the whole of the credit um the gigantic credit system will come under threat and the first thing we'll see is that there will be a massive bare Market inequities um lots and lots of money will be lost um and uh I think we'll also see cryptocurrencies come down as well because crypto are correlating very nicely with um you know the Magnificent Seven tech stocks uh and um you know it's quite clear that the people who you
know who who've been gambling in Bitcoin um are the same people who gamble in you know in those stocks it's like a the tech stock if you like so I think we're going to see that that's going to be the first sign of it um But Rising interest rates uh Rising bond yields um are basically going to undo government finances big time because governments and particularly the United States with a debt to uh you know with with a debt to GDP of around about 125 130% um and the econom is not being
productive uh this is the other thing Lucien uh you know the the um Congressional budget office came out with fig earlier this month is estimates for GDP and for the deficit and uh what we're looking at I mean realistically the deficit is going to be about 8% of GDP they reckon that GDP will grow by 4 and a half% virtually all the deficit is spent into GDP so what we're seeing is if you take the government spending out of GDP the private sector is actually Contracting in America so this is actually you do
the same you know the same sum with most of the other G7 Nations and you'll find that France in particular bad news Britain bad news um Italy bad news I mean this is this is you know everywhere where you got these deficits um these uh nations are going into debt traps and the biggest debt trap of all is the dollar debt trap and it's that that's going to unwind the entire credit bubble silver holes are unique position in the precious metals Market it's often called The People's metal for a good reason it
combines the wealth preserving qualities of gold with affordability and accessibility making it an attractive option for both large institutions and everyday investors but silver isn't just a cheaper alternative to Gold it has distinct advantages that are becoming increasingly apparent in today's economic and geopolitical climate let's start with the gold to Silver ratio historically this ratio representing how many ounces of silver it takes to purchase 1 ounce of gold has averaged around 15 colon 1 but today
it's hovering closer to 80 colon 1 and IM balance that many experts believe signals a massive undervaluation of silver If the ratio reverts to historical Norms silver prices would need to rise dramatically far outpacing gold what's driving this disconnect one reason is perception gold has long been viewed as the ultimate Safe Haven asset and central banks have historically focused their purchases on gold however this trend is Shifting as central banks diversify their reserves and need geopolitical tensions and
inflation fears silver is gaining recognition as a viable store of value especially in Emerging Markets where its affordability makes it more accessible silver also has a much smaller Market size than gold which means its price can move more sharply in response to changes in demand this volatility Works in favor of investors during times of financial uncertainty or industrial growth as even modest increases in demand can cause significant price surges and here's where it gets even more interesting while gold sits in
vaults as a purely monetary asset silver has an Irreplaceable role in Industry its dual identity is both a safe haven asset and critical industrial material givs it the unique advantage in times of crisis when investors flock to Precious Metals to protect their wealth Silver benefits When industrial sectors like technology and renewable energy booms silver also benefits moreover silver is becoming a favored Choice among retail investors as inflation eats away at the purchasing power of fat currencies more
people are turning to physical assets like silver to preserve their wealth unlike gold silver is Affordable for the average person making it easier to purchase in smaller quantities this accessibility has led to record demand for silver bulling coins with mints around the world struggling to keep up with orders but it's not just individuals driving this trend institutions are starting to take notice exchang traded funds at stat tracks over are seeing increased inflows signaling that professional investors are positioning
themselves for what could be a historic rally in silver prices the result silver is no longer just an afterthought in the world of precious metals it's becoming a central player with the potential to outperform gold in both financial crisis and Industrial booms the question for investors is this with Silver's affordability Dual Purpose demand and potential for Sharp price movements is at the UL imate hedge in today's volatile economy next we'll explore how the fragile state of the Global Credit
system and Rising inflation are making silver more critical than ever don't forget to subscribe and comment below do you think silver could outperform gold in the coming years let's continue unpacking this fascinating story it was followed by crisis in in uh Europe you had uh Cyprus you had Greece you had you know all these things started going horribly wrong and again the ECB said whatever it takes that was Mr dr's um Mantra so what we now have is we have the accumulation of all these bubbles
into one big bubble and um the symptoms of it are really quite clear I mean you look at um uh look at the valuation of equities on Wall Street um you know they're chasing the Magnificent Seven the big tech stocks um on on a momentum basis not on a value basis I mean if value came into it you'd be selling Tesla for example because um you know Donald Trump's turn around said I don't go for this um climate change rubbish we're withdrawing from the Paris agreement furthermore we're going to hit China
with tariffs where does uh you know where are Tesla made a lot of them are made in China that market there is diminishing that's a stock that should be sold under any normal value judgment but instead it's an all-time high I think it will be sold of course it will um but so you can see that's an Evidence of a bubble there's a bubble if you like in the equities and certainly given that uh bond yields have already risen this means that the valuation basis for the equity Market is now more stretched than
it was in the.com bubble back in 2000 I mean that's quite something when you think that the behavior of people in that dot bubble was absolutely extreme so um that's one one aspect the another aspect is is is the cryptocurrency phenomenon I mean Bitcoin you know they're going to the going up forever what are you buying you know you you're buying some digits I mean we had we had um oh you you know you could buy these sort of um you know I can't remember what they were called but it
was sort of electronic art um it wasn't even that I can't remember what they called them but you know people were paying silly money for nothing and that's a sign of excess credit and and this is why you have inflation in the system I mean the Global Credit system is hanging by thread and Silver's unique qualities are positioning it as a must of asset in times of financial turmoil unlike Fiat currencies or speculative assets silver offers something that modern financial instruments
cannot stability tangibility and intrinsic value let's talk about what happens when credit bubbles Burst when the system collapses Trust In traditional Financial assets stocks bonds and even currencies vanishes almost overnight that's because these assets are based on promises not tangible value Fiat currencies can be printed endlessly and stocks are only as good as the companies behind them but silver like gold is different it has inherent value that doesn't rely on government guarantees or Market
sentiment here's where silver stands up even further it's a hedge not just against inflation but also against currency devaluation when central banks attempt to fix economic crises they often resort to printing money or lowering interest rates these measures May provide short-term relief but they ultimately weaken the value of Fiat currencies historically when the purchasing power of currencies plummets silver prices Skyrocket but there's an added twist this time inflation isn't the only
concern Rising interest rates are exposing the cracks in the system higher rates increase the cost of borrowing putting immense pressure on governments businesses and households already buried under debt as to faults and bankrupt his rise the entire credit system could seize up leading to a financial crisis far larger than 2008 in this environment investors rush to protect their wealth by converting cash and paper assets into physical stores of value silver is affordability compared to gold makes it a Natural
Choice particularly for middle class and Retail investors who may not have the means to purchase gold this broad accessibility gives silver A Unique Edge in time s of Crisis and let's not forget about Supply constraints unlike gold a significant portion of silver is consumed in industrial applications and can't be easily recovered this means that even as demand for silver sky rockets during a financial crisis the supply May struggle to keep up with mining output already lagging behind demand any increase in
buying pressure could send prices soar to Historic levels Silver's potential to thrive in both economic booms and busts makes it one of the most versatile Assets in the market it benefits from its industrial demand during growth cycles and from its Safe Haven status during financial crisis this dual role is why many experts believe silver could significantly outperform other asset classes in the years ahead so here's the key takeaway as the Global Credit bubble continues to grow and the financial
system becomes more fragile silver isn't just an option it's a necessity whether you're looking to hedge against inflation protect your wealth from a collapsing credit system or capitalize on Industrial demand silver is uniquely positioned to deliver in The Next Step we'll dig into how institutional players including central banks and ETF are influencing the silver market their moves are setting the stage for what could be a massive Silver Bow run what do you you think are we heading
for a financial storm where silver will take Center Stage let us know in the comments and don't forget to stay tuned as we keep breaking this down which creates Credit in the economy um and um there comes a point where that gets a little dangerous and then Banks think who who well we got too much risk on our balance sheet and the two ways in which they can compensate for that basically are to um lend money to the government rather than the private sector and also to increase the rate uh the interest
rate um which um they request private sector actors to to to pay and that leads to if you like a turnaround in the economy so you know you have an economy which um you know is expanding and then suddenly it starts Contracting as it were Contracting in the sense that because credit is redirected towards government borrowing um you find that you know the private sector gets ends up in trouble now this is a cycle of bubbles which has been going on since the 1980s uh and um particularly none of the bubbles have been allowed to wash
out the um Mal Investments the zombie companies the companies which shouldn't survive because they don't actually produce what consumers want uh profitably so those are the companies that should get wiped out every time uh the bubble bursts as it were but the bubbles haven't been allowed to burst each bubble has fed into the successive one so each bubble has got bigger and bigger and bigger and we saw a very big bubble accumulate by the time uh 2008 2009 sorry which manifested itself in a
property crisis um that bubble was never allowed to burst I mean the you know the FED sat there with its checkbook and said right open the fragile state of the Global Financial system is forcing both individual and institutional investors to rethink their strategies and silver is emerging as a critical asset in this shifting landscape the Fiat credit system which has been propped up by Decades of artificial monetary policies is nearing its Breaking Point as cracks form institutional players are making
significant moves to Shield themselves from The Fallout and silver is playing a key role in their strategies let's examine the vulnerabilities of the current system at its core the Fiat credit system relies on trust trust that governments will manage debt responsibly trust that central banks can control inflation and trust that the currency in your pocket will hold its value over time but this trust is eroding Rising interest rates soaring debt levels and ballooning deficits are revealing the inherent fragility of feat
money central banks in particular are acutely aware of this over the past few years they've been aggressively increasing their reserves of precious metals with gold leading the way but silver is quietly entering the picture and its strategic value is becoming harder to ignore central banks and Emerging Markets where inflation risks are higher in currencies or more volatile are beginning to view silver is a critical hedge but it's not just central banks exchange traded funds Nets which allow investors to buy shares back
by physical silver have seen Rising inflows as the financial system grow shakier when silver prices rise EKF typically increase their Holdings to keep Pace with demand this creates a feedback loop higher prices drive more investment which drives prices even higher consider of this in 2024 silver ETF returned to net inflows after a period of sell-offs as investors began to position themselves for a potential financial crisis analysts are predicting that this trend will accelerate in 2025 as concerns about the
stability of Fiat currencies continued Mount institutions are starting to hedge their portfolios with physical silver in silver-backed assets betting on its dual role as a monetary metal in an industrial commodity but there's an even larger Force at play physical silver shortages while DF are adding to their reserves the physical silver market is struggling to meet demand over 80% of the world's silver Supply is minded as a byproduct of other metals like zc and lead with mining output failing to keep
up in industrial demand surging a supply squeeze is almost inevitable this isn't just speculation it's already happening in 2024 silver experienced a supply deficit for the fourth consecutive Year and that Trend shows no signs of reversing if institutional demand continues to rise prices could be pushed to levels we've never seen before so why does this matter to you because institutions are often the first to act their growing interest in silver signals of broader recognition of its importance
as a hedge against systemic risk if you're waiting for silver to prove itself before investing you could miss the wave entirely the next step is clear as trust in Fiat currencies continues to dwindle silver is becoming a Cornerstone for both individual investors in financial institutions looking to protect their wealth in the next segment we'll explore the supply demand Dynamics in even greater detail uncovering why Silver's limited availability could drive unprecedented price gains don't forget
to subscribe and share your thoughts below are you seeing signs of growing institutional interest in silver let's keep building this story well um I think the silver price has for a long time been controlled um and uh my suspicion is that it's been controlled by China um because for China it's a it's it's a staple uh commodity really and even more so given uh the global move towards photto Volta sales and of course India is now getting into the Vol photovoltaic sale manufacturing industry as well so
they're becoming a demand source and I think um I think that control over the price is actually beginning to be lost by China because of India's um you India coming into it um I discovered that um this was the way it worked a long time ago because I I attended I was speaking at a conference in New York back about 2010 something like that and it was attended by a lot of Silver Mines um and these silver miners obviously you know basically trying to promote their share prices looking for Capital whatever
whatever and I asked all of them one question and that is um you know when you've produced your silver uh you know your silver dor um can you tell walk me through what happens and they said well the first thing is the man from glenor comes along and he evaluates he gives a value to the uh to to the Dory the Dory is then shipped off for refining we don't know where it goes it doesn't interest us the point is that we're paid by the bank introduced by glenor and the bank would probably be JP
Morgan silver Supply demand Dynamics are set in the stage for what could be a historic price surge driven by A Perfect Storm of increasing indust consumption and dwindling availability while Silver's dual role as a monetary and Industrial asset is well documented the numbers reveal just how tight the market is becoming and why prices could Skyrocket in the coming years first let's look at the supply side unlike gold which is often hoarded and recycled a significant portion of silver is consumed in industrial
processes making it unrecoverable Industries like solar energy electronics and electric vehicles depend on Silver's unique properties and this demand is only growing that silver production is failing to keep Pace in fact mining output has remained relatively fat for years and over 80% of silver comes as a byproduct of mining other metals likely in zinc now here's the kicker if the demand for base Metals declines it is slowing economic activity or changes in industrial needs silver production could drop even further this
creates a supply bottleneck that amplifies the impact of rising demand we've already seen the effects 2024 Mark the fourth consecutive year of a silver Supply deficit and experts predict the Gap will widen in 2025 on the demand side the numbers are equally striking the solar energy sector alone accounts for nearly 10% of global silver consumption and that percentage is expected to grow as countries ramp up their renewable energy commitments electric vehicles are another gain changer with e requiring up
to 50 gram of silver the automotive sector is becoming a significant driver of demand add to that Silver's essential role in 5G infrastructure medical applications and consumer electronics and it's clear that industrial demand is creating sustained pressure on the market but industrial use is only part of the story investment demand for silver is surging as the financial system faces mounting instability central banks and institutional investors are turning to Silver as a hedge against inflation and
currency devaluation retail investors too are pouring into the market with record-breaking sales of silver bullion and coins in recent years this combination of constrained Supply and Rising demand creates the classic conditions for a price explosion analike other Commodities silver has a relatively small Market size meaning even modest increases in buying pressure can lead to significant price swings what does this mean for the future analysts are already forecasting silver prices to rise by 25% or more in
2025 with some human predicting it could hit $140 an ounce or higher if geopolitical tensions inflationary pressures and financial instability continue to mount the UPS side could be far greater the question is how will the market respond when these Supply demand Dynamics fully Collide will Silver's price reflect its true value or will investors who wait too long be left behind in The Next Step we'll take a closer look at the bigger picture how Silver's unique position in both the financial and Industrial worlds can make
it one of the most sought-after assets in the event of global economic collapse drop a comment below do you think silver Supply crunch could lead to a new record I let's dive deeper sort of idea as silver bulls that um you know gold when if gold breaks through this uh you know two 2,800 level let's say then I think silver will be you know shooting off because I think there comes a point where people look at it and they say Gold's gone up it's now going into new High Ground Silver's being left behind
we got to buy silver yeah so I I think at that stage it Rockets um it could be starting to Rocket now I mean basically it's kept pace with gold last year I mean they were both up about 25 26% or something like that if I look at the uh gold silver ratio at the moment it's um just under 90 I mean that's crazy absolutely crazy um on the industrial side um I mean it's not pric as money let's this is what that ratio is telling us if it was Price's money it would be under 20 not Price's money um it's a
essentially um an industrial commodity with if you like money sentiment uh in it um but it's been in deficit according to the silver Institute for the last four years uh so this is a commodity which one the whole commodity can't can't uh you know sort of whole commodity complex begins to um move higher on the back of gold I think silver will be bleeding the charge as the pieces of this economic puzzle come together one thing becomes increasingly clear silver is poured to become one of the most
sought-after Assets in the face of a global economic crisis what makes silver truly remarkable is its ability to thrive in two vastly different worlds the financial and Industrial this dual identity not only sets silver apart it also creates unprecedented opportunities for investors who act now on the financial side silver serves as a hedge against collapsing currencies and runaway inflation historically during periods of economic instability silers are performed many traditional Investments the reason is simple and Trust in Fiat
currencies erose people turn to tangible assets with intrinsic value gold may be the first asset that comes to mind but silver offers a compelling alternative due to its affordability and higher potential for explosive gains in fact silver often up performs gold during bull markets for precious metals this is partly due to its smaller Market size which makes it more sensitive to shifts and demand when investors rush into silver the impact on prices can be far more dramatic than gold added at the fact that silver is
currently undervalued relative to gold and you have the perfect setup for significant price appreciation on the industrial side Silver's demand is deeply tied to the technology shaping the future Renewable Energy electric vehicles and advanced telecommunications all rely heavily on Silver these industries are not just growing they're accelerating with governments and corporations investing billions into green energy and digital infrastructure as this trend continues the demand for silver will rise
regardless of the state of the broader economy but here's the catch while demand for silver is rising on both fronts Supply is failing keep up we've discussed the mining challenges and Industrial consumption that makes silver harder to recycle these factors are creating a supply crunch that will only intensify as demand continues to grow this imbalance between supply and demand is why many experts believe silver could be one of the best performing assets of the next decade it's not just a safe haven
during Financial crisis it's also a growth asset in times of industrial expansion few Investments can claim to offer such a powerful combination so what's the play here the answer is straightforward act before the rest of the market catches on whether you're a seasoned investor or just starting out silver offers a unique opportunity to protect your wealth and capitalize on the forces for shaping the global economy but what do you think could Silver's dual role as a monetary metal
and an industrial commodity make it the most valuable asset of the decade let us know in the comments Below in the final step we'll connect all the dots and explore exactly how the collapse of the credit bubble could trigger a historic surge in silver prices stick around you won't want to miss this conclusion you know Trump I mean he's not very much liked in in in in in Europe um except by if you like the people who are sort of of anti-socialist um who are gathering incidentally I'm not saying that you
know what he's doing is all bad by any means but on economics I'm afraid that he's going to drive up the rate of inflation which put in another way is the purchasing power of the dollar going down um and who's going to want to buy the dollar who's going to want to fund government debt I mean at this rate uh what 5% well it's 4 and 3/4% or something on on uh the 10 treasury no I don't think so 5% no maybe not you know you could be looking at what 6 7% and when it gets there what
happens to the arithmetic about the US government debt you oh my God it's getting worse and worse and worse no we just get out don't get involved and if anything if we got dollars get out and go and buy some real money with it this is the moment we've been building toward how the collapse of the credit bubble could trigger a historic surge in silver prices let's connect all the dots and break it down step by step the global economy is sitting on an not of debt fueled by Decades of loosed monetary
policy governments and central banks have printed trillions of dollars to keep the system of flat creating an illusion of stability but every bubble eventually bursts and this one is no exception Rising interest rates soaring bond yields and unsustainable deficits are putting unprecedented pressure on the credit system when it collapses it will send shock waves through Global markets as we've seen in past crisis people will scramble to protect their wealth stocks bonds and cryptocurrencies assets tied to the
failing credit system will plummet Fiat currencies already weakened by inflation will lose their purchasing power in this chaos investors will turn to tangible assets with intrinsic value gold will undoubtedly play a major role but silver has the potential to outperform for several reasons first silver is far more accessible than gold its lower price point makes it an attractive option for a broader range of investors from retail buyers to Emerging Markets this accessibility will drive a surge in
demand as people seek to safeguard their wealth second silver Supply is already constrained with industrial demand for silver at record highs and Mining outputs struggling to keep up the market is still prepared to handle a sudden influx of investment demand this imbalance will push prices higher creating a feedback loop that accelerates Silver's rise third silver offers something gold cannot critical industrial applications as economies attempt to recover and rebuild after the collapse Industries like Renewable Energy
electric vehicles and advanced technology will continue to grow these industries rely heavily on Silver ensuring that demand remains strong even in the aftermath of financial chaos but here's the key takeaway silver isn't just a hedge against collapse it's also a vehicle for growth its dual identity is a monetary metk and an industrial commodity makes it uniquely positioned to thrive in both crisis and Recovery let's put this into perspective experts are already predicting a 25% rise in silver prices
for 2025 with some estimates reaching $140 an ounce but if the credit bubble bursts and triggers a flight to Safe Haven assets Silver's upside could be far greater some analysts believed we could see silver prices double triple or even reach historic highs as Panic buying sets in so where does that leave you the choice is clear prepare now Alan ating even a small portion of your portfolio to Silver could make the difference between weather in the storm and being caught off guard before we wrap up
here's a reminder this is not Financial advice always do your own research and consult with a professional before making any investment decisions that said the evidence is compelling and that opportunities are undeniable subscribe now to stay ahead of the curve as we continue to explore the trends shaving the future of the global economy and let us know in the comments do you think silver is the ultimate hedge against a collapsing Financial system thanks for watching and we'll see you at the next video that's
literally within what $ 30 odd dollars of the all-time high which was um back in last uh early November so you know it looks like it's um got enough momentum to go higher but I mean actually what's happening is that it's going lower the is going lower now the reason the dollar is going lower is we got a new president who's a Spen Thrift and he's going to introduce um tariffs against China and against the European Union in particular and um the effect of that is that the consumer is going to have to pay higher
prices Consumer Price Index Rises what can the FED do not a lot it can't cut interest rates U and then you've got the budget deficit which I think will be somewhere it could be two and a half trillion and that's just inflation that's debasement of the currency being injected into GDP uh so yeah you know and non-americans foreigners holding dollars are watching this and this is the assessment they're making they can see that um you know interest rates are going to have to rise they can see that
the uh US economy while it appears on the surface to be growing in fact it's not productive Ive if anything is an inflation
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