A major Japanese electronics maker approached First Majestic Silver Corp. for the first time last month seeking to lock in future stock, a sign of supply concerns that could boost the metal’s price ninefold, according to the best-performing producer of the metal.
“For an electronics manufacturer to come directly to us -- that tells me something is changing in the market,” said Keith Neumeyer, chief executive officer of First Majestic, the top stock in Canada and among its global peers this year.
UPDATE: A different reader L, this time LL, writes in after doing the math:
LL wins today's observation prize.In his 1 min long (short) interview KN says that silver is being mined with a 9 to 1 ratio to gold and the price is 75 to 1, "this can't go on". Then at the end he goes on to predict (guess) where he think prices will be at the end of the year: "Silver in the $20 range and gold at $1,500". Now wait, isn't that a 75 to 1 ratio?