In the financial sphere, a chart showing a potential rise in silver prices to over $40 per oz has captured attention and sparked discussion; this chart, posted initially by Ron Griess, displayed a reverse head-and-shoulders pattern.

Silver has broken out of a multi-year consolidation and downtrend. Technicians consider this a notable event as such longer-term trend changes are infrequent and usually persist. In addition to its demonstrated strength, silver has also put up significant relative strength, outperforming equities. Silver’s encouraging trend has persisted since its rally began on March 1st.  

Here is a longer-term chart of silver dating to the early 1970s, when precious metals were first traded freely in American history. The technical analysis states that the bigger (longer) a base (i.e., horizontal price action), the bigger the move. What is extraordinary about silver in the chart above is that the left and right sight of this cup and handle formation spans forty years. We are unaware of any other tangible asset that has exhibited a basing pattern that spans an entire generation. 

Additionally, even despite silver’s notable rally this year, silver remains the only asset we know that is still trading below its prior inflationary peak from 1980. This price action is perhaps most surprising considering that silver’s end markets are so strong with applications as varied as hybrid cars, batteries, solar energy, water filtration, and high-end healthcare bandages. In many of these cases, demand exhibits price inelasticity – i.e., substitutes are not easily found for silver in these applications, even if silver’s price were to rise dramatically.  

Against this surging demand backdrop, silver is targeting its fifth consecutive year of production deficits, meaning that more silver has been consumed than mined as other above-ground supplies have been needed to accommodate demand. 

While there are no guarantees, and the metals may lose significant value, our expectation is that silver will trade well into triple digits in the years ahead. 

Praise Be Jesus! St. Joseph Partners has recently acquired notable minting and manufacturing equipment, expanding our capabilities. We are enthused with the opening of  The St. Joseph Mint to bring manufacturing jobs back to the Heartland of America. Among many items we are currently manufacturing from the St. Joseph Mint, we offer buffalo rounds, walking and standing liberty rounds, mercury rounds and numerous others in one ounce and one tenth ounce sizes.  We are excited to also offer our unique Praise Be Jesus Rounds, which give glory where it is due and pay tribute to God’s great works in bringing the American Colonists and Jewish faithful out of tyranny. We have chosen the image of Our Lady of Guadalupe as our mint mark. The miraculous image of Guadalupe was inexplicably delivered to the exact center point of the Americas 246 years before Washington’s miraculous rescue from Valley Forge.  The miraculous image is noteworthy as it triggered a wave of conversion to Christ so grand in scope, the entire continent of Latin America shifted from being Aztec with rampant human sacrifice to Christianity. The miraculous image, still unexplainable by science, is visible 500 years later to all who journey to see it in Mexico City.