Fed rate hike and how it might impact my silver holdings - checking in with other investors
- •Okay, so another Fed rate hike just dropped.
- •On the flip side – inflation is still sticky, and that’s usually a tailwind for hard assets like silver, right?
- •The whole "poor man's gold" thing resonates with me, offering a good balance of investment and industrial utility.
Okay, so another Fed rate hike just dropped. Officially 25 bps, as expected, but the language around future hikes is still a little squishy, which always makes me slightly uneasy when it comes to metals. I’ve been building up my Silver IRA over the last few years – probably sitting on about $350k in physical silver right now, mostly through a direct custodian. My company in Cleveland is in manufacturing, and we're definitely seeing some softening, so the thought of a prolonged downturn and what that means for industrial demand for silver is something I'm chewing on. On the flip side – inflation is still sticky, and that’s usually a tailwind for hard assets like silver, right?
I got into silver originally as a hedge, a way to diversify out of just stocks and bonds, especially with all the money printing we saw a few years back. The whole "poor man's gold" thing resonates with me, offering a good balance of investment and industrial utility. I really believe in owning something tangible, something that can’t be digitally erased or printed into oblivion. My gut says hold, especially since we're not talking about a huge hike, and there's still so much uncertainty globally that flight to safety could pick up again. But I also don't want to be blind to potential headwinds.
For those of you holding significant silver in your IRAs, how are you interpreting this latest Fed move? Are you making any adjustments to your strategy? Thinking of rebalancing at all, or just holding tight and riding it out? Also curious if anyone else is seeing softness in their industries that makes them question the industrial demand side of silver.