I am still long uranium via numerous names like Cameco (CCJ) and the Global X Uranium ETF (URA).

I am also long numerous other commodities and, in addition to owning one or two value stocks I like, I own several names that have exposure to commodities, as I continue to believe they represent an inflation hedge and are entering a "super cycle" that will end in consolidation in both hards and softs at meaningfully higher prices in 2022.

But this week, my attention turned back to another commodity I hadn't looked at in a while: silver.

I added some exposure to silver yesterday by purchasing call options on the iShares Silver Trust (SLV) and may add to already existing positions in either the Sprott Physical Silver Trust (PSLV) or any of a host of miners, including Pan American Silver Corp. (PAAS) if the price of silver moves meaningfully lower and/or dislocates from the price of gold further.

My reasoning for the purchase was twofold:

Monetary policy is a plane that is headed directly into a mountain, as confirmed by Fed chair Powell yesterday. We'll discuss.

The gold/silver ratio, which has traditionally indicated when silver is cheap relative to gold, is back over 80:1, indicating a large dislocation from historical norms.

As a quick overture, I'd like to state that, in general, I like the climate for both gold and silver here - both are unloved for reasons I will discuss in moments - but I think silver represents the better opportunity, at least for the time being.

It was confirmed yesterday that the Fed is still at least considering speeding up and following through with a taper. Jerome Powell postured on Wednesday that tapering and rate hikes would be well on their way throughout 2022 and into 2023.