Fed decision and how I'm playing it with my silver holdings
- •Well, turns out the Fed played it safe, just like most of us expected.
- •No rate hike this time around.
- •I've been watching this stuff closely from my lanai here in Ewa Beach, and honestly, it’s a bit of a mixed bag for my silver.
Well, turns out the Fed played it safe, just like most of us expected. No rate hike this time around. I've been watching this stuff closely from my lanai here in Ewa Beach, and honestly, it’s a bit of a mixed bag for my silver. On one hand, no hike means less pressure on the dollar, which should theoretically be good for precious metals. But on the other, it also signals they think the economy still needs a softer touch, which could mean slower growth than we'd all like.
I started really loading up on silver bars, specifically, back when I retired from the Navy about six years ago. Cashed out a decent chunk of my TSP and rolled it into a Gold IRA, with a good 20% dedicated to physical silver. My total portfolio is sitting pretty at around $800k now, so that's a solid $160,000 in silver I'm talking about. My thinking was always diversification away from fiat, especially seeing how things played out in the Asian markets during my deployments. The stability of physical assets just feels different, you know?
My big concern now is inflation. They keep saying it's cooling, but I'm still seeing prices for everything out here in Honolulu climbing. Gas, food, even just a decent plate lunch – it all adds up. If the Fed keeps holding off on hikes, are we just kicking the can down the road on a bigger inflation problem? That’s where I see my silver really earning its keep as a hedge. I bought most of it when silver was in the low $20s, so I'm feeling pretty good about my average cost right now.
I'm weighing whether to add another $20k-$30k to my silver holdings in the coming weeks, depending on how the market reacts to this Fed pause. Anyone else out there thinking along similar lines, or are you seeing this decision differently for your precious metals? Specifically with silver bars – are you holding steady, buying more, or even thinking of trimming a little if we see a significant bump?