Despite the September 5, 2011 historic-high gold price of $1,895.00 per troy ounce, and despite the multi-decade-high silver price of $48.70 per troy ounce, gold and silver prices have yet to re-hit their 1980 historic levels, adjusted for inflation. The earlier all-time high of $850.00 of January 21, 1980 would be $2,476 per troy ounce, based on January 2012 CPI-U-adjusted dollars, $8,890 per troy ounce based on SGS-Alternate-CPI-adjusted dollars.
In like manner, the all-time high price for silver in January 1980 of $49.45 per troy ounce still has not been hit since 1980, including in terms of inflation-adjusted dollars. Based on January 2012 CPI-U inflation, the 1980 silver price peak would be $144 per troy ounce...and would be $517 per troy ounce in terms of SGS-Alternate-CPI-adjusted dollars.
John knows his stuff...and he's absolutely right about this. Silver is dirt cheap at today's price. This must read blog is posted over at the King World News website...and the link is here.
