Alaska Coin offering…
Herb_T
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2
Herb_T
Posts: 1,754 ✭✭✭✭✭
Herb_T
Posts: 1,754 ✭✭✭✭✭
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I see you got the same email I did. Still a higher premium that I would be looking for.
And the point is .....
Thank you for typing what I was thinking...
In honor of the memory of Cpl. Michael E. Thompson
Well, there are 3 possibilities:
1. He thinks it's a deal and he's sharing.
2. He thinks it's a rip-off and he's shaming.
3. He doesn't know what to think and he's asking (without asking).
Those are reasonable the current market. The premium has all but disappeared on 90% (it was +$9 a couple of weeks ago and it is down to +$1.25 now), but silver is up to $22.60 (right now) which makes the wholesale price about 17x face.
Upstate is buying eagles at +$6.24 and selling at +$12.50 so +8 is reasonable.
Wholesale on circ peace $ (F/better) is $27. Upstate is selling at $32.25. So, again, $30 is very reasonable.
Their sale prices are 10% over wholesale.
Silver is trending up now... So there will be a lot of sales, anticipating a run-up even further. Strange how that works... The same buyers ignored silver at $17oz. not long ago. Cheers, RickO
Actually, the price of physical silver at $17 per ounce was pretty much the same as it is now at $22 per ounce. The effective price of silver has actually been dropping in the run up from $20 as the premium has evaporated. Believe it or not, silver has effectively dropped $5 per ounce over the last couple of weeks.
Interesting. I’m not a bullion stacker but I do have a couple hundred ounces of silver bars. So when the price drops, the wholesalers adjust their premium accordingly so they don't have to take a loss on old inventory? 😅
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No. Not usually. The premium was retail. The wholesalers are BUYING at those numbers. Wholesalers were BUYING eagles at $10 over and buying 90% at +$9.50 only 2 weeks ago. I was selling them 90% at 22x only 2 weeks ago. Silver went up almost $2 and now they are buying at 17x or 18x.
I have been saying for 2 years that I did not understand the premium. The effective price of silver was closer to $30 than $20 for the last 2 years. And then, almost overnight, with no obvious reason, it just evaporated.
By the way, that premium on Eagles was in place when silver was much higher than today. That $8 to $10 premium was in place even when silver was over $25 per ounce.
If there was anything nefarious going on, it was at COMEX where the price of silver never went up to match the huge physical premiums people were paying to acquire it. Even generic bars had $3 WHOLESALE premiums a few weeks ago.
I note people cheering the move in silver and gold. But they really need to be careful as the actual "street price" has not been moving up. In the case of silver, the street price has been moving noticeably down.
Odd indeed, I always appreciate your input and point of view from a dealer perspective. Casual bullion buyers like myself are likely unaware of the nuances in the pricing of wholesale silver. I was considering unloading my bars if the price got close to what I bought it at, as it turned out to be a poor investment. looks like ill have to wait for the silver price, AND the actual premiums to align. I could have bought a a few generic ms64 saints and had a much better return. Instead, I went the "safe" route and I've been buried since lol.
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Even the gold premiums have dropped a bit, but not as much. It's really odd.
Most bigger dealers don't really care. They turn it quickly and don't hold. The smaller dealers can get crushed if they try and hold inventory for retail customers. I tell the little folks - like me! - to flip it as fast as possible. Trying to get that extra 3-5% on a retail sale is too risky if you don't have sales volume. I've got a package of bullion coming today. I'm flipping it to my wholesaler before 5 p.m. today. LOL.
Thanks @jmlanzaf I had been considering selling off some more ASE's and 90% thinking the move up would be good. As it turns out the stuff I sold at $19 spot went for the same or more than stuff would bring now. Crazy silver market. I'll have to watch gold. I had not noticed the premiums coming down.
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$5 Type Set https://www.pcgs.com/setregistry/u-s-coins/type-sets/half-eagle-type-set-circulation-strikes-1795-1929/album/344192
CBH Set https://www.pcgs.com/setregistry/everyman-collections/everyman-half-dollars/everyman-capped-bust-half-dollars-1807-1839/album/345572
Depends on which gold. Dealer wholesale on AGE's was 5 to 6% over last month and is only 2.5% now. So, that premium has shrunk significantly. It's less obvious in the price than silver because the premium only changed by 2 to 3% against a rise of about 5% whereas the premium on silver was like 40% of spot.
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What @3stars said! ++.
The store is a feast for the eyes. Seeing the different size gold nuggets and all of the historical books make it unlike many traditional coin stores. Right in the heart of downtown. Be brave and visit in Feb or March when it may get as cold as -30 or -40. Fairbanks has an airport also…fly up thru Seattle and enjoy.
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