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Buying silver at local coin show

ajaanajaan Posts: 17,396 ✭✭✭✭✭

I went to the Buffalo Numismatic Association monthly coin show today to check out silver prices. Here are the lowest prices I found:

Generic silver round $28
Maple Leaf $29
ASE $35
10oz bar $290

With silver spot at $25/oz are these pretty much in line with current pricing?


DPOTD-3
'Emancipate yourselves from mental slavery'

CU #3245 B.N.A. #428


Don
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Comments

  • rte592rte592 Posts: 1,689 ✭✭✭✭✭
    edited March 20, 2022 8:07AM

    @ajaan said:
    I went to the Buffalo Numismatic Association monthly coin show today to check out silver prices. Here are the lowest prices I found:

    Generic silver round $28
    Maple Leaf $29
    ASE $35
    10oz bar $290

    With silver spot at $25/oz are these pretty much in line with current pricing?

    I'd say your price point is consistent with others.
    I haven't been in a retail shop in a month but last visit the SAE's were $10 over spit BUT he didn't have any.
    The Libertads they had in a case (some slabbed some in 2x2 holders) were older stuff they picked up years ago, they were looking to cash out at 2x, 3x spot.

    Saw a customer (A guy walked in with a backpack, off the street NO CAR and purchased a single newer generic round from the selection of 8 for $30.
    they had the silver rounds in the back and brought to the counter for him to look at.
    I asked if the dealer was buying and he said No.

    Disclaimer, this dealer knows I know what my silver is worth and figured he couldn't make any money on it anyway.

  • jmski52jmski52 Posts: 22,899 ✭✭✭✭✭

    Those prices seem to be in line with those being mentioned in the silver premium thread.

    I asked if the dealer was buying and he said No.

    I'm hearing & reading from the likes of Andy Schectman (sp?) and Bill Holter that supplies are getting much harder to replace, so it might be the case that this particular dealer has already laid in the level of inventory that his financing will allow within the boundaries of being somewhat prudent.

    It would be good to hear what other people's experiences are in the market.

    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • rte592rte592 Posts: 1,689 ✭✭✭✭✭

    This dealer said replacement costs are up and inventory is slow to replace.
    Has a larger order in but the wholesaler wont fill it, just sends partial amounts now and again.

  • ajaanajaan Posts: 17,396 ✭✭✭✭✭

    My brother just texted me and he said a dealer gave him $400 for 15oz of silver today at a coin show in Syracuse.


    DPOTD-3
    'Emancipate yourselves from mental slavery'

    CU #3245 B.N.A. #428


    Don
  • jmski52jmski52 Posts: 22,899 ✭✭✭✭✭
    edited March 20, 2022 8:30AM

    $26.66 / $24.98 = 6.75% premium over spot for a dealer's buy price. That's historically a healthy premium for selling 90% silver, but in today's world I would defer to other people's current experiences.

    In the past, 90% silver could be had at a discount, so the selling prices would've been discounted even more.

    Figure a net rise in the premiums for 90% silver have risen maybe 10% since those times. Seems like a long term supply crunch in the making.

    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • bronco2078bronco2078 Posts: 10,244 ✭✭✭✭✭

    @jmski52 said:
    $26.66 / $24.98 = 6.75% premium over spot for a dealer's buy price. That's historically a healthy premium for selling 90% silver, but in today's world I would defer to other people's current experiences.

    In the past, 90% silver could be had at a discount, so the selling prices would've been discounted even more.

    Figure a net rise in the premiums for 90% silver have risen maybe 10% since those times. Seems like a long term supply crunch in the making.

    my local guy has nothing in 90% he told me he had a bag of canadian 80% quarters he wanted 20x for, some guy bought the whole pile . Do I need any silver proof sets? Im not that desperate :D

    I love 90% but the 2000and up silver proof coins are ugly the redheaded stepchildren of the breed but somewhere someone is buying those up too.

    Its a strange time , I had put a row of AU walkers in my booth last week for 18 bucks each and no takers but a guy left a business card offering 15x face for a roll of au/bu 64 kennedy halfs. ;)

    In this market i see a lot of oddball buyers looking to work some angle, for some specific type and I suppose they are searching for undervalued or forgotten backwaters of the market.

    It never goes well. Remember when people were seeking out the 2006-2008 burnished ASE's and loading up? Then the mint blew their semi secret item's market to smithereens . I knew a guy who bought 50 of the baseball glove silver dollars and that soured. That being said I think the silver dollar that looks like a buffalo nickle still is up there but then again no one that paid 200 for one is ahead yet or ever will be

  • derrybderryb Posts: 36,938 ✭✭✭✭✭

    Visited the LCS recently. Ask what he was selling ASEs for. He said he didn't have any. I asked what his buy price was. He said it was $1 over spot. It's obvious why he has no ASE inventory.

    The government is incapable of ever managing the economy. That is why communism collapsed. It is now socialism’s turn - Martin Armstrong

  • jmski52jmski52 Posts: 22,899 ✭✭✭✭✭

    Visited the LCS recently. Ask what he was selling ASEs for. He said he didn't have any. I asked what his buy price was. He said it was $1 over spot. It's obvious why he has no ASE inventory.

    Predatory Price Discovery by the LCS. Not too cool.

    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • DNADaveDNADave Posts: 7,277 ✭✭✭✭✭
    edited March 20, 2022 1:44PM

    I’m selling damaged/heavily scratched peace dollars for $25 in my booth at the antique mall. Happily getting rid of the weak items that came along with purchased collections.

    I could see getting 28 or more for generic silver but I’m still holding onto anything except the dregs.

  • blitzdudeblitzdude Posts: 5,958 ✭✭✭✭✭
    edited March 20, 2022 2:23PM

    @derryb said:
    Visited the LCS recently. Ask what he was selling ASEs for. He said he didn't have any. I asked what his buy price was. He said it was $1 over spot. It's obvious why he has no ASE inventory.

    Welcome to the world of ASE's LOL get creative if you want to get your premium back.

    The whole worlds off its rocker, buy Gold™.
    BOOMIN!™

  • DrBusterDrBuster Posts: 5,409 ✭✭✭✭✭

    If I had an itch to scratch with those prices I'd be all over the maples and maybe the 10s if they were interesting (think aussie/canada stuff) and not just crap.

  • ajaanajaan Posts: 17,396 ✭✭✭✭✭

    @DrBuster said:
    If I had an itch to scratch with those prices I'd be all over the maples and maybe the 10s if they were interesting (think aussie/canada stuff) and not just crap.

    I did pick up a few of the Maple Leafs.


    DPOTD-3
    'Emancipate yourselves from mental slavery'

    CU #3245 B.N.A. #428


    Don
  • bronco2078bronco2078 Posts: 10,244 ✭✭✭✭✭

    @DNADave said:
    I’m selling damaged/heavily scratched peace dollars for $25 in my booth at the antique mall. Happily getting rid of the weak items that came along with purchased collections.

    I could see getting 28 or more for generic silver but I’m still holding onto anything except the dregs.

    you should bump up your prices . I'm getting 35 for culls and /or modern commemorative dollars

  • rickoricko Posts: 98,724 ✭✭✭✭✭

    There is a gun show coming up here in a couple of weeks. There will be a few tables with silvery dollars... One with a lot of them...Will check out the prices - he is usually high - and will see what he is offering. From the looks of his stock, he will not be offering much, since it appears to be static from show to show. Cheers, RickO

  • rte592rte592 Posts: 1,689 ✭✭✭✭✭

    @ricko said:
    There is a gun show coming up here in a couple of weeks. There will be a few tables with silvery dollars... One with a lot of them...Will check out the prices - he is usually high - and will see what he is offering. From the looks of his stock, he will not be offering much, since it appears to be static from show to show. Cheers, RickO

    I see the same thing at the Murphy's show.
    One of the guys was reasonable and I actually bought some vintage rounds years ago.
    Just a looker since...did ask once if he was selling much?
    The answer was some, so basically he's making more for less and retains inventory.
    Sounds like the right business model.

  • derrybderryb Posts: 36,938 ✭✭✭✭✭
    edited March 21, 2022 1:51PM

    The days of cheap (premium over spot) silver will not be back for some time, if ever. However, if one looks strictly at the fundamentals that should be affecting silver price silver is currently cheap even with the high premiums. The question is "will fundamentals ever once again drive market prices for PMs?"

    We are witnessing the FED having to back down from pumping stocks, the time will come when we witness the futures exchanges losing their grip over PM spot price control. The real markets eventual set all prices and it takes uncertainty and loss of faith in all things dollar related to make this happen. Current economic sanctions will disrupt PM physical supply and the fixing of its prices. These sanction will have an ill affect on international trading of most all things commodity related as nations realize they need to keep their resources at hand.

    The government is incapable of ever managing the economy. That is why communism collapsed. It is now socialism’s turn - Martin Armstrong

  • rickoricko Posts: 98,724 ✭✭✭✭✭

    @derryb.... Do you have any predictions for where silver and gold may be headed over the next six months?? I realize such predictions would be tenuous, at best. Both the geo-economic and political situations are in a state of flux. That being said, I would think that if the major sanctions hold for a significant period, just the stifling of PM's from Russia would have an impact. Although, there are always work arounds. Cheers, RickO

  • rte592rte592 Posts: 1,689 ✭✭✭✭✭
    edited March 22, 2022 5:45AM

    We are witnessing the FED having to back down from pumping stocks.

    Define Pumping

    as in buying up to keep the market inflated?

  • TwoSides2aCoinTwoSides2aCoin Posts: 44,363 ✭✭✭✭✭

    I go with the flow. Low margins. A diet of beans and rice. Most guys who know I'm a journeyman in three other trades think I'm nuts doing this ____. I suppose I am.

  • derrybderryb Posts: 36,938 ✭✭✭✭✭

    A> @rte592 said:

    We are witnessing the FED having to back down from pumping stocks.

    Define Pumping

    as in buying up to keep the market inflated?

    As in QE/dollar creation:

    The government is incapable of ever managing the economy. That is why communism collapsed. It is now socialism’s turn - Martin Armstrong

  • derrybderryb Posts: 36,938 ✭✭✭✭✭
    edited March 23, 2022 2:46AM

    @ricko said:
    @derryb.... Do you have any predictions for where silver and gold may be headed over the next six months?? I realize such predictions would be tenuous, at best. Both the geo-economic and political situations are in a state of flux. That being said, I would think that if the major sanctions hold for a significant period, just the stifling of PM's from Russia would have an impact. Although, there are always work arounds. Cheers, RickO

    My opinion:

    Inflation is going to worsen. The rate at which it worsens is in the hands of FED decisions on interest rates. It can only be brought down to earth with extreme rate hikes. Forty years ago it took 20% interest rates to cure inflation that was close to today's inflation. 20% interest rates would drive today's fragile economy into a deep recession if not a depression. As current inflation grows so does the magic number of what interest rate it will take to reign in inflation. FED is demonstrating its best hope at the moment is to slow the rate, not reduce it. While gold rises during inflation it is simply holding value. It is not actually providing profits that are a result of the inflation.

    The Russia confrontation will either worsen (high PM prices) or subside (lower PM prices). I suspect in the face of all this craziness cooler heads will prevail and the recent geopolitical uncertainty that has given rise to PM prices will subside bringing PM prices down. If hostilities increase so will PM prices.

    The sanctions (economic WWIII) have created a temporary reduction of PM raw material supply but opened new doors for international trading payment methods that are side-stepping the petrodollar thus reducing its world dominance. These doors will not close and will lead to more new, creative international payment methods. This will expedite dollar destruction and lead to higher US prices for PMs but again because of dollar devaluation.

    In six months I expect PM prices to be lower than they are today, but only because I have faith in a Ukrainian resolution. Even with such, bad enough inflation/dollar destruction could result in higher prices at the end of six months. My gut says take some profits but with no more than 30% of the stack.

    The government is incapable of ever managing the economy. That is why communism collapsed. It is now socialism’s turn - Martin Armstrong

  • RobMRobM Posts: 558 ✭✭✭

    The Fed simply cannot and will not credibly fight inflation. Consider that if the treasury was paying even a 5% average rate on the total debt, the interest would be double that of current defense spending, and 40% of all current federal tax revenue. The more likely solution is to continue overhauling measurements like PPE and CPI to produce lower inflation numbers, i.e., grow out of inflation by making the masses poorer.

  • JimTylerJimTyler Posts: 3,433 ✭✭✭✭✭

    @TwoSides2aCoin said:
    I go with the flow. Low margins. A diet of beans and rice. Most guys who know I'm a journeyman in three other trades think I'm nuts doing this ____. I suppose I am.

    Rice and beans ? I got a feeling they’re thinking something else stinky.

  • cohodkcohodk Posts: 19,185 ✭✭✭✭✭

    @RobM said:
    The Fed simply cannot and will not credibly fight inflation. Consider that if the treasury was paying even a 5% average rate on the total debt, the interest would be double that of current defense spending, and 40% of all current federal tax revenue. The more likely solution is to continue overhauling measurements like PPE and CPI to produce lower inflation numbers, i.e., grow out of inflation by making the masses poorer.

    Higher interest rates would only apply to new debt. Not existing. They will not change the 1.875% coupon on a treasury bond die on 2/15/2032.

    Excuses are tools of the ignorant

    Knowledge is the enemy of fear

  • jmski52jmski52 Posts: 22,899 ✭✭✭✭✭

    _In six months I expect PM prices to be lower than they are today, but only because I have faith in a Ukrainian resolution. Even with such, bad enough inflation/dollar destruction could result in higher prices at the end of six months. _

    Gregory Mannarino has a completely different scenario. You should check out his blog for a few days.

    Higher interest rates would only apply to new debt. Not existing. They will not change the 1.875% coupon on a treasury bond die on 2/15/2032.

    Increases in Fed Funds affects all bonds, the values of all bonds will crater if rates go high.

    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • jmski52jmski52 Posts: 22,899 ✭✭✭✭✭

    Which is why they won't do it. But nevermind, they've screwed the pooch already. The dollar is in the worst shape of my entire life, and it's not getting any better. The bond market is a farce.

    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • derrybderryb Posts: 36,938 ✭✭✭✭✭

    @cohodk said:

    Higher interest rates would only apply to new debt. Not existing.

    unless the existing debt is financed with a variable rate loan.

    The government is incapable of ever managing the economy. That is why communism collapsed. It is now socialism’s turn - Martin Armstrong

  • jmski52jmski52 Posts: 22,899 ✭✭✭✭✭

    Higher interest rates would only apply to new debt. Not existing.

    A misleading statement, while true doesn't mean that higher rates are of no consequence to old debt. Higher rates are of serious consequence to all bond issues. All of them. As rates increase, the market value of all old debt goes down.

    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • RobMRobM Posts: 558 ✭✭✭

    T bills, notes, bonds, they're all debt instruments with different maturation period. I don't have time at the moment to retrieve data, but I would bet that most of the Gov debt is in shorter term instruments meaning that it is always coming due. If a crack addict could finance his purchase at 1% for 30 days or 2% for 30 years, he will always chose the lower rate, and constantly roll over the debt into another short teem loan. This works until the short term rate goes up.

  • shorecollshorecoll Posts: 5,445 ✭✭✭✭✭

    One thing I find sad is that all pundits, govt agencies, analysts, etc. go out of their way to not explain that when the Fed says inflation will moderate, they mean the rate at which prices are going up. NO ONE is saying prices will go back down, the increases are becoming increasingly systemic. A recession might drop consumer prices, but other chatter likely won't.

    ANA-LM, NBS, EAC
  • RobMRobM Posts: 558 ✭✭✭

    @shorecoll said:
    One thing I find sad is that all pundits, govt agencies, analysts, etc. go out of their way to not explain that when the Fed says inflation will moderate, they mean the rate at which prices are going up. NO ONE is saying prices will go back down, the increases are becoming increasingly systemic. A recession might drop consumer prices, but other chatter likely won't.

    That's because deflation is a dirty word amongst Keynesians, MMTers and practically every modern economist. Fact is that mild deflation should be tolerated as simply a natural result of productivity gains. But instead, productivity gains go to the Gov and elites who insist upon sone level of positive inflation as good,

  • blitzdudeblitzdude Posts: 5,958 ✭✭✭✭✭

    @TwoSides2aCoin said:
    I go with the flow. Low margins. A diet of beans and rice. Most guys who know I'm a journeyman in three other trades think I'm nuts doing this ____. I suppose I am.

    Replace the rice with butter and you will be "golden". RGDS!

    The whole worlds off its rocker, buy Gold™.
    BOOMIN!™

  • MartinMartin Posts: 986 ✭✭✭✭✭

    Stopped by a local shop yesterday he had this

    Martin

  • cohodkcohodk Posts: 19,185 ✭✭✭✭✭

    @jmski52 said:
    Increases in Fed Funds affects all bonds, the values of all bonds will crater if rates go high.

    One will receive full face value upon maturity. Its not like the price drops and stays down. It will gradually increase back to par.

    Not sure what your fear is about. Please explain.

    Excuses are tools of the ignorant

    Knowledge is the enemy of fear

  • bronco2078bronco2078 Posts: 10,244 ✭✭✭✭✭

    @cohodk said:

    @jmski52 said:
    Increases in Fed Funds affects all bonds, the values of all bonds will crater if rates go high.

    One will receive full face value upon maturity. Its not like the price drops and stays down. It will gradually increase back to par.

    Not sure what your fear is about. Please explain.

    full face value depreciated in tomorrow dollars :D

  • jmski52jmski52 Posts: 22,899 ✭✭✭✭✭

    One will receive full face value upon maturity. Its not like the price drops and stays down. It will gradually increase back to par.

    Are you saying that the bonds were a good investment for the bondholder after rates have gone up and nobody should dump them while rates are going up? So what if the purchasing power is 85% of what the original purchasing power was?

    I'm 100% certain that you know what happens to bond prices when interest rates increase. Would YOU be buying bonds right now? Yeah, I didn't think so.

    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • shorecollshorecoll Posts: 5,445 ✭✭✭✭✭

    I remember 1000 ounce bars after the Hunt crash for $4200/$4400 at a nearby BM and no I wasn't smart enough to buy any.

    I also saw 100 ounce gold bars and those puppies would be tough to move today.

    ANA-LM, NBS, EAC
  • bronco2078bronco2078 Posts: 10,244 ✭✭✭✭✭

    @jmski52 said:
    One will receive full face value upon maturity. Its not like the price drops and stays down. It will gradually increase back to par.

    Are you saying that the bonds were a good investment for the bondholder after rates have gone up and nobody should dump them while rates are going up? So what if the purchasing power is 85% of what the original purchasing power was?

    I'm 100% certain that you know what happens to bond prices when interest rates increase. Would YOU be buying bonds right now? Yeah, I didn't think so.

    I actually have some I bonds that I took my 2013 and 2014 tax refunds in , paper I-bonds not digital , those are paying about 7% . It was kind of a throwaway I guess I just happened to discover them and did it as a lark

  • blitzdudeblitzdude Posts: 5,958 ✭✭✭✭✭

    @bronco2078 said:

    @jmski52 said:
    One will receive full face value upon maturity. Its not like the price drops and stays down. It will gradually increase back to par.

    Are you saying that the bonds were a good investment for the bondholder after rates have gone up and nobody should dump them while rates are going up? So what if the purchasing power is 85% of what the original purchasing power was?

    I'm 100% certain that you know what happens to bond prices when interest rates increase. Would YOU be buying bonds right now? Yeah, I didn't think so.

    I actually have some I bonds that I took my 2013 and 2014 tax refunds in , paper I-bonds not digital , those are paying about 7% . It was kind of a throwaway I guess I just happened to discover them and did it as a lark

    Tax refund? Please share how, haven't seen one of them in probably 2 decades. THKS!

    The whole worlds off its rocker, buy Gold™.
    BOOMIN!™

  • thefinnthefinn Posts: 2,656 ✭✭✭✭✭

    @ricko said:
    @derryb.... Do you have any predictions for where silver and gold may be headed over the next six months?? I realize such predictions would be tenuous, at best. Both the geo-economic and political situations are in a state of flux. That being said, I would think that if the major sanctions hold for a significant period, just the stifling of PM's from Russia would have an impact. Although, there are always work arounds. Cheers, RickO

    Compared to a rapidly depreciating dollar? Nowhere but up in purchasing power.

    thefinn
  • RobMRobM Posts: 558 ✭✭✭

    @bronco2078 said:

    @jmski52 said:
    One will receive full face value upon maturity. Its not like the price drops and stays down. It will gradually increase back to par.

    Are you saying that the bonds were a good investment for the bondholder after rates have gone up and nobody should dump them while rates are going up? So what if the purchasing power is 85% of what the original purchasing power was?

    I'm 100% certain that you know what happens to bond prices when interest rates increase. Would YOU be buying bonds right now? Yeah, I didn't think so.

    I actually have some I bonds that I took my 2013 and 2014 tax refunds in , paper I-bonds not digital , those are paying about 7% . It was kind of a throwaway I guess I just happened to discover them and did it as a lark

    Perhaps the highest yielding, low risk investment possible to make this year. 7.12% through April, but almost guaranteed to yield 8 or 9% from May through Oct. Only have to lock in for a year. The only negative is that you can't buy more than $10K worth in a calendar year.

  • cohodkcohodk Posts: 19,185 ✭✭✭✭✭
    edited March 25, 2022 2:47AM

    @jmski52 said:
    One will receive full face value upon maturity. Its not like the price drops and stays down. It will gradually increase back to par.

    Are you saying that the bonds were a good investment for the bondholder after rates have gone up and nobody should dump them while rates are going up? So what if the purchasing power is 85% of what the original purchasing power was?

    I'm 100% certain that you know what happens to bond prices when interest rates increase. Would YOU be buying bonds right now? Yeah, I didn't think so.

    No. Thats not what i said. But your thinking is all backwards.

    If last year i bought a 10 yr bond at 100 with a 1.50% yield and now it is at 92, why would i sell it? I know exactly what yield i will get to maturity, no matter what the price does.

    Can you tell me exactly what yield you will get on silver over the next 10 years?

    I believe your thinking is along the lines of.......what idiot would buy a bond yielding 2.5% for 10 years? The answer would be.....not the same idiot who bought silver and got 2.5% over the last 10 years.

    Excuses are tools of the ignorant

    Knowledge is the enemy of fear

  • Jzyskowski1Jzyskowski1 Posts: 6,650 ✭✭✭✭✭

    New around here. So idiot for buying bonds. Idiot for buying silver? Wow don’t leave much room. I guess I’ll take “idiot for $100” and return to collecting what I like. Seems safer than only having idiot for a choice.
    This is a rough neighborhood.

    🎶 shout shout, let it all out 🎶

  • jmski52jmski52 Posts: 22,899 ✭✭✭✭✭

    f last year i bought a 10 yr bond at 100 with a 1.50% yield and now it is at 92, why would i sell it? I know exactly what yield i will get to maturity, no matter what the price does.

    An 8% loss in market value over the first year? That's not exactly stellar performance. I wouldn't want to stay in that financial vehicle if the trend remains the same.

    Can you tell me exactly what yield you will get on silver over the next 10 years?

    No, can you? The rationale for buying silver is not the rationale for buying bonds. You know that. Is silver undervalued at this time? I think so. Then again, any physical asset is undervalued when gov.com is spending and the Fed is creating gobs of dollars out of nothing, faster than any time in history.

    what idiot would buy a bond yielding 2.5% for 10 years?

    Someone who thinks that rates will continue down. To be fair, some people think that might happen, at least in the short term. If one was inclined to play the bond market, fine. If you intend to hold to maturity, you truly are an idiot.

    not the same idiot who bought silver and got 2.5% over the last 10 years.

    I don't know of any silver investor who calculates the value of silver their holdings like an interest-bearing piece of paper.

    So idiot for buying bonds. Idiot for buying silver? Wow don’t leave much room. I guess I’ll take “idiot for $100” and return to collecting what I like. Seems safer than only having idiot for a choice.

    Well, you can go with whatever the Fed tells you and believe everything you hear on Bloomberg, or you can believe your own lying eyes & what you see going on around you for the past 20 years. And try not to be one of the useful idiots that the Fed and gov.com are trying to push you into being.

    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • cohodkcohodk Posts: 19,185 ✭✭✭✭✭
    edited March 25, 2022 10:49AM

    @jmski52 said:
    f last year i bought a 10 yr bond at 100 with a 1.50% yield and now it is at 92, why would i sell it? I know exactly what yield i will get to maturity, no matter what the price does.

    An 8% loss in market value over the first year? That's not exactly stellar performance. I wouldn't want to stay in that financial vehicle if the trend remains the same.

    And if you understood anything about bonds you would know the trend will not, cannot, stay the same.

    Heck...at some point the price of the bond will even rise while rates rise.

    Excuses are tools of the ignorant

    Knowledge is the enemy of fear

  • blitzdudeblitzdude Posts: 5,958 ✭✭✭✭✭
    edited March 25, 2022 1:45PM

    @Jzyskowski1 said:
    New around here. So idiot for buying bonds. Idiot for buying silver? Wow don’t leave much room. I guess I’ll take “idiot for $100” and return to collecting what I like. Seems safer than only having idiot for a choice.
    This is a rough neighborhood.

    Buy high, hoard in your bunker for a few decades then sell at a loss. You will fit in just fine around here. RGDS!

    The whole worlds off its rocker, buy Gold™.
    BOOMIN!™

  • jmski52jmski52 Posts: 22,899 ✭✭✭✭✭

    if you understood anything about bonds you would know the trend will not, cannot, stay the same.

    Heck...at some point the price of the bond will even rise while rates rise.

    Kewl, that being the case I urge you to load up on bonds now, the longer term the better.. You can get rich and come back here to brag about how smart you've been. Just do it!

    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • cohodkcohodk Posts: 19,185 ✭✭✭✭✭

    @jmski52 said:
    if you understood anything about bonds you would know the trend will not, cannot, stay the same.

    Heck...at some point the price of the bond will even rise while rates rise.

    Kewl, that being the case I urge you to load up on bonds now, the longer term the better.. You can get rich and come back here to brag about how smart you've been. Just do it!

    Only speculators buy bonds to get "rich". Isnt that the same argument that folk use regarding silver? That silver is for long term protection.

    To you, having a bond drop right after purchase and waiting 10 years to be made whole is different than buying silver, watching it drop and remainjng stagnant and finally be made whole 10 years later. Why is this not the same?

    Or maybe buying a house in 2006 only to get back to even in 2016.

    Or waiting 10 years for you stock to get back.

    You paint all this out to be a cataclysmic event, yet it never is. You see the oncoming waves and try to face them head on. Chillax man, the world aint gonna end.

    Excuses are tools of the ignorant

    Knowledge is the enemy of fear

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