U.S. Mint Silver Coins Run Out as Buying at 5-Year High

More than ever, we need to finds ways to hedge against inflation as Central Banks in major economies are resorting to quantitative easing, commonly known as printing money. Japan's new Prime Minister, Mr Abe has already made known his intentions of printing money till his 2% inflation target is reached.

In view of new stimulus programs from all the major governments, investors in droves, are buying up silver coins and other precious metals to hedge against currency fall outs.

Below is an article from Bloomberg news:

U.S. Mint Silver Coins Run Out as Buying at 5-Year High

By Nicholas Larkin - Jan 18, 2013 7:33 AM ET

The U.S. Mint sold out of 2013 American Eagle silver coins at a time when investors bought the most metal in five years through the biggest exchange-traded product.

The mint’s sales are “temporarily” suspended and will resume on or about the week of Jan. 28 when inventory is replenished, it said yesterday in an e-mailed statement. Holdings in the iShares Silver Trust jumped 571.6 metric tons on Jan. 16, an increase now valued at $584 million. Prices may rise as much as 27 percent to $40.25 an ounce this year, a Bloomberg survey of 49 analysts, traders and investors last month showed.

The reverse side of a 2013 American Eagle silver coin. Source: U.S. Mint via Bloomberg
Global assets in silver ETPs climbed to a record valued at $20.1 billion as central banks from the U.S. to China pledged more steps to boost economic growth. The stimulus is raising demand for precious metals as a hedge against faster inflation and currency debasement. Strengthening economies may also benefit silver, because 53 percent of it is used in everything from televisions to batteries, the Silver Institute says.

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