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Community Poll Results - What price range do you think an ounce of silver will finish the year in?
COMMUNITY POLL OF THE MONTH - RESULTS
After silver's fallout a week ago, we asked our members what price range they thought an ounce of silver will finish the year in. At the time of the poll (May 8, 2011), silver traded for roughly $35 an ounce. It finished trading this week at $34.97.
An overwhelming amount of our members who took the survey (67%) anticipate silver to close 2011 at $50 or higher. On top of that, 20% believe silver will close the year trading between $40 to $50. So, in short, 87% of our members who took the survey believe silver will close 2011 much higher than where the precious metal currently trades.
This is a stark contrast to Bloomberg's recent survey which was highlighted in an article titled 'Global investors favour cash as commodities turn volatile'. Bloomberg's report stated "Global investors have tempered their optimism about the US and world economies and plan to put more of their money in cash and less in commodities over the next six months, a Bloomberg survey found. Almost 1 in 3 of those questioned say they will hold more cash, while 30% intend to reduce investments in commodities".
On top of that, the Bloomberg report stated "More than half of those surveyed expect silver prices to fall further in the next six months."
Clearly the Pinnacle community has taken the contrarian stance on silver, and the Pinnacle Team is right in-line with our community. As you know, we are dollar bears and silver bulls. Within 12 months we expect to see silver back around the $50 price point.
It's amazing how quickly the masses (perfect example is the Bloomberg poll) turn their back on commodities and silver at the first sign of volatility. We are confident this is a tremendous mistake and you couldn't pay us to rebalance our portfolio back into cash (unless of course you were paying us in silver!).
Our members had a lot to say about this matter and we've included some of their comments on silver below:
"The industrial side of silver value is 30-40 dollars based on demand fundamentals and ever increasing use by the tech industry. The silver buying for investment as a hedge against dollar depreciation is unknown but I will guess it will be stand alone 20-30 dollars which means a combined value of between 50 to 70 dollars by December"
"Gents, you are vastly underestimating the commodities, the potential for market upheaval as a result of currency debasement, and the destruction of our economy, thanks to the Wall St insiders and the DC bunglers. Gold and Silver as a result are going to explode to the upside, buckle your seatbelts; silver will touch $100 this year and gold will reach $2000 by xmas."
"The criminal CFTC can not delay position limits for another 7 months without too many questions being asked."
"This is a pull-back preparing silver for the next push upwards."
"Bernanke and the fed stupidly employed QE2 thinking it would drive down the price of the short bond while driving up short term interest rates and encourage loans to small businesses. Didn't happen. In fact, all it did was set the stage for hyper inflation. I don't think the fed is so stupid as to continue along such a course. QE2 will end and end badly. This will also end the rise in commodities prices and gold, silver and oil will continue to correct lower based on supply and demand."
"The fundamentals of silver are still strong despite the recent manipulation of contracts. I believe the price action of silver will reach $100.00/oz of silver. I am looking for the day when we will see $5 - $10 movement in one day...BW"
"Silver is much more scarce then Gold and I believe the silver/gold ratio will shrink further"