I just saw a new digital camera, with a high-quality color printer. The pictures that this combo is capable of are truly breathtaking…and this is all done without traditional silver-based film/paper. So, seeing that photography accounts for >70% of the silver consumption in the USA, willdigital photograpy render silver worthless?
I remember when the Hunt brothers tried to manipulate the world silver market-the stuff went as high as $32.00/oz/…so should I be shorting silver futures now?
Can you give a cite for the statistic about 70% of the US consumption being by the photographic industry? And you might consider more a world consumption rather than US.
Shorting any commodity which is as low as silver(in terms of its average price over the last 15 years) would be dangerous.
http://www.silverinstitute.org/news/pr0799me.htm
The problem with shorting silver in the expectation that the price will fall is that the same thought has occurred to everybody else, so the price already takes into account the expectation.
I remember when the price went up cause of those brothers but when it dropped, Kodak didn’t lower their prices, as I thought they would. I was taking a photo class when it happened.
Isn’t silver mostly used for black & white photography, which isn’t influenced by digital cameras?