dollar will NOT collapse. so let's just get past that already
but the accommodative fed policy(even when q2) and the fact that more and more silver is used in just about every tech gadget will be more than enough to drive silver to high $50s end of year and quite possibly $70s
The dollar is only worth the full faith and credit of the US. If the US defaults, which many politicians are supporting, then yes, full faith and credit is destroyed, and it is worth-less. Zimbabwe bills are worth a little something, yes, but if the almighty US dollar did a dump like that, there is no telling what this world would look like. It can happen (overnight), and that is why I hedge my bullish investments with survival gear.
me. too. car, flood, healthcare and own a bunch of silver. that still doesn't mean the dollar will collapse like many zombies on this board think. it will go down, but not collapse. silver however, will go substantially higher. IMO
Though I agree with both of your points, you seem to be blurring unrelated concepts the same way a lot of dollar junkies do on this board.
The dollar index shows the value of the dollar relative to other currencies. All governments are devaluing their currencies, so whether the dollar rises or falls relates to whether we devalue ourselves faster or slower than the rest of the world.
But since all currencies are devaluing...printing money and holding rates super low...all currencies must fall in value relative to real assets.
So, whether the dollar rises or falls just tells you whether silver is rising faster in dollar terms or in terms of other currencies...but it rises against both.
Supply and demand dynamics also play a part in asset pricing (and oil supply and demand dynamics can be very different from silver, for example)...but it is always against a backdrop of devaluing currencies.