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90% Being Pre-Sold. Has Anyone Seen This Before?
Mike59
Posts: 297 ✭✭✭
Just went on a couple of coin dealer websites and they are offering $100 bags of 90% for 27X BUT it “will be shipped when in stock”. Seems crazy that they are Pre-selling junk silver. I’ve never seen that before. Why lend them your money? Thought’s?
Mike
MIKE B.
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overpriced. I never do presales on precious metals as a seller or as a buyer. Presales are what put dealers out of business. Sorta like a ponzi.
Keep an open mind, or get financially repressed -Zoltan Pozsar
Interesting... sell at current prices, deliver when melt drops.... Cheers, RickO
If you go to a large coin show, you will likely find a better selection and immediate availability (and a better price).
Far easier to get screwed in a rising market.
Looks like gambling.
Sorry All I should have said. I’m not looking to buy. I’m a holder and always look around to see what 90% is selling for. I was shocked to see 90% on a pre-sale.
MIKE B.
Always looking to buy.
Fifty cents on the dollar of spot or face value is a no brainer
The record high premiums being paid by buyers and a growing list of pre-sellers "strongly suggest" that demand is on fire. This same demand growth will create higher purchase price problems for the pre-sellers and will likely cause them to be underwater before they can fill outstanding orders.
Demand and price will continue to outdo one another until they reach the top of the hill and the tumble down the other side. As always with PMs no one knows the size of the hill and therefore peak of the hill.
Keep an open mind, or get financially repressed -Zoltan Pozsar
More than one place doing ' pre-sale ' for 90%..... something seems to be going on.
90% is climbing fast
I stopped by a local shop yesterday and they had probably 50-75 face in mostly dimes & quarters and asking 24x
Click on this link to see my ebay listings.
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Spread between real silver and COMEX paper silver continues to grow. What does this tell you?
Keep an open mind, or get financially repressed -Zoltan Pozsar
@derryb said; Spread between real silver and COMEX paper silver continues to grow.
I’m not seeing this phenomenon. A quick search of the big retailers seems to show that COMEX bars are readily available for about $1.5 above spot.
Wholesaler i sell too, keeps upping price daily. Funnier story than that, a dealer I know down in the Wilmington area, who pays crap prices for stuff over the counter, called me today and asked if I had any, "told him no I sold it last night to the wholesaler" as they were paying strong, he told me He beat it, to get it, he wasnt BS'in.
100 oz. bars, as usual, are the exception . . . at least until COMEX delivery demand accelerates. This tells us that demand for the 100's remains unchanged. Checked the premiums on 90% lately?
Keep an open mind, or get financially repressed -Zoltan Pozsar
@derryb:
I’ve always liked 90%, but that’s because I’m (a) a little sentimental and (b) just a small time buyer!
In the early 60's as a kid I mowed three nice size lawns a day for $3 ea. during the summer. I then always converted half of it to quarters cause I liked quarters. Still have a lot of those 90%s.
Keep an open mind, or get financially repressed -Zoltan Pozsar
The same thing as 9 months ago when premiums were higher. Nothing. Nothing happened.
Knowledge is the enemy of fear
Yes it did. The FED jawboned the markets to believe all is well so PMs dropped. Faith in their lies is once again dwindling.
Keep an open mind, or get financially repressed -Zoltan Pozsar
Your story made me 😀smile. In the very early 1970’s my mom gave me $2 to go bowling with my friend. When we paid up for the games and shoes I was given 3 Mercury dimes as change. I refused to spend the dimes and walked home about 4 miles. My friend didn’t understand and called me stupid. I still have those 3 dimes.
Mike
MIKE B.
You're right...PMs dropped.
Knowledge is the enemy of fear
I may have found your answer. A large physical order was filled. $27 million in 90% and $23 million in pre 1933 gold. This wiped out the marketplace of 90% so large retailers are having to presell product they may have purchased but don't have on hand yet. You will also see out of stock flags on some items. This order put a big dent in Pre 1933 gold too. This is also why $20 Libs and Saints are selling for more than Gold Eagles. Currently AGEs $2182, AU $20 Libs $2317 at APMEXHmmm... who had the big pockets?
Big online dealers are selling 90% at 31x face - not just $10 rolls either but $500 bags.
I’m still scratching my head on who is paying 31x
I remember pre-2020, you could not even give away for free constitutional. Right now, I am buying foreign 90% constitutional since it's at spot in my neck of the woods. A bit less liquid? Sure, but silver is silver.
I'm seeing $35/ounce or approximately 25x Face,
__I'm seeing $35/ounce or approximately 25x Face._
Are you looking at a local dealer? The major dealers, APMEX and JM Bullion, are over 31X retail. Their buy is close to 22.5X
Yes, you're correct that's even higher, but I've seen buy prices higher locally $24/per
That price you have seen and Now, I too, is approx $44.00 per ounce of silver. This is some high price or premium don't cha think?> @coinnerd said:
I am thinking the premiums are high, but I also think the paper COMEX and physical prices are starting to diverge. This is showing up in the demand for physical an the higher premiums. I also saw that both raised their premium for ASEs.
Not bad for GUTTER metal. 🤔 Huh?
MIKE B.