I have continued to buy physical silver for the past year or so. It just makes so much sense to my understanding of monetary theory and our current precarious financial state. However, every day I look at the price of silver, while I know the economy is being flooded with new "high-powered money" (credit), and....nothing. The price seems flat between $30-40 per oz. I understand naked short selling is partly responsible for keeping the price of silver artificially down but what else? Are people still buying claims on silver and not the real thing? I'm thinking about keeping what silver I have and just putting my savings henceforth into low risk (low-yield) investments like t-bills and CDs. I would appreciate anyone's thoughts on the subject.
Also, buying gold right now if just not in my budget.