What the Historical Silver vs Sheep Ratio Says About Silver Today

My last video on the gold to cow ratio

seemed to really strike up a good

conversation. So today I thought I would

talk about the silver to sheep ratio.

There's my sheep back there. And what's

very interesting about the silver to

sheep ratio that you'll want to stay

tuned to find out is that it tells us

something really different than the

cattle to gold ratio. So, if you're

interested in the silver to sheep ratio

historically and what it means today for

silver prices, stick around because

we're about to find out some very

interesting stuff. After spending some

time researching, I was able to find out

the historical sheep to silver ratio,

and it was pretty interesting. We can

find records dating all the way back to

the Mesponian era around 2000 BC.

That roughly 1 ounce of silver bought

you two productive sheep. Fast forward a

little bit to the age of the Vikings,

the 10th century did a little better for

your silver. Your 1 ounce of silver got

you three productive sheep. Fast forward

to the Romans. Everybody likes the good

Roman. your gold or your silver, sorry,

did even better. One silver ounce bought

you six sheep. So, you can see for

thousands of years, the sheep to silver

ratio, it's been fluctuating from around

2 to six. But what about today? You

know, if you unless you live under a

rock, you can see the gold and silver

prices have just gone astronomical.

Silver today is well over $110.

Absolutely crazy.

What's a sheep worth? One of these

beautiful Kataden hair sheep use behind

me eating their hay. They're worth right

around $300 for a young productive you.

But that really messes up the silver to

sheep ratio. That's like onethird sheep

for every ounce of silver. So

something's got to give. either history

for thousands of years has been wrong or

is our current silver price wrong.

So, if you watch my last video on an

ounce of gold to a productive cow,

they've stayed fairly consistent for

thousands of years. One ounce of gold

buys you one productive cow. The sheep

ratio has fluctuated, you know, from one

to two all the way up to six during the

Roman times. But today,

one ounce for a third of sheep just

seems way out of whack. If it's really

that far out of whack, what way does it

have to go? Either the price of sheep

has to drop dramatically to catch back

up with the ratio or the price of

silver, even though it's gone up quite a

bit the last couple months, still has a

long way to go to catch up. Let's talk

about it.

I as a sheep rancher, I have over a

hundred sheep. I don't think the price

of a sheep is overvalued at all. If

anything, I think the price of sheep as

a commodity is slightly undervalued

compared to the dollar. So, I don't

think the sheep price of sheep is going

to go down anytime soon.

Silver, on the other hand, has been

going up. It seems to be catching up to

some historical ratios. The historical

ratio for gold to silver is around 1

ounce of gold is 16 ounces of silver.

That's kind of fluctuates up and down,

but over the course of thousands of

years, it's been silver gold ratio of 16

ounces of silver buys you 1 ounce of

gold. So even that today, it's around 50

to1. So, I think silver has a lot of

upside. If it at $5,000 gold at 16 to1,

that means silver should be about $300.

That seems crazy because it's only $100

today. But from this rancher's

perspective, the ratio for sheep to

silver is way off. The ratio for gold to

silver is way off. So, my logical

conclusion is that silver has a long way

to run. And if we get back to kind of a

medium of 2:1 for the silver to sheep

ratio, that would mean silver needs to

be about $600 an ounce. And I know

there's some silver analysts out there

that are calling for $600 an ounce

silver. So, let's start a debate. Let's

get the comment section rolling with do

you think silver is going to catch back

up to the gold to silver ratio of 16 to1

or the historic thousands of years of

history sheep to silver ratio of 1:2. So

you're talking $600 silver $300 silver

for their gold ratio. I don't know. It's

kind of exciting to look at look at

these sheep and think of them valued in

silver coins. So, for what it's worth,

that's what was on my mind this morning,

the historic sheep to silver ratio. I

want to thank everyone for watching the

videos, watching my cattle to gold ratio

video. There's so many fun comments, so

many good discussions. I appreciate it

very much from this rancher trying not

to freeze here in the Ozarks. Thank you

for your time and following along. We'll

talk to you later. Bye.