In times of deep economic crisis, which brings the world into turmoil, people turn to gold, silver, platinum, diamonds or any commodity that will guarantee purchasing power. It is time to start keeping an eye on the junk silver price.That is because paper money, bonds, deeds and whatever had paper value when the economy was vibrant loses its appeal. Paper values are in real danger of losing purchasing power and this includes money. It is the origin of the saying: "Gold loves bad news".
A good example is the Russian Revolution. When the communist regime took power, most stock holders who owned parts of Russian businesses were wiped out. The once valuable documents had no other value any more than to decorate and be sold as curiosities on Sunday markets or garage sales.
What does this have to do with coins or numismatics?
Well, if you are piling up large amounts of junk silver coin, you might be saving for a rainy day, but you might also be betting on the price of silver reaching records heights on the commodities market.
That is not contrary to logic, as in times of economic crisis, there is more demand for precious metals as refuge values, which invariably pushes the price upwards.
Is is not a bad move. Junk silver American coins minted before 1964 contain 90% silver and include dimes, quarters, half dollars and silver dollars, as did many other coins from other countries in those days, for example, Swiss franc coins.
A bit of quick math will surely make you understand the wisdom of hanging on to junk coin bullion. If you have a kilo of old dimes, then you have the equivalent of 900 grams of silver. Check what the current price for junk silver is today, and you will be amazed at the actual dollar worth your old dimes in terms of precious metals value represent.
Source:ezinearticles.com
