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A few years ago, the U.S. was running out of Silver....

StoogeStooge Posts: 4,649 ✭✭✭✭✭
I read that we had <10 Million oz. left.

Did we run out? Where is the Silver coming from?

Later, Paul.

Later, Paul.

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    MarkMark Posts: 3,522 ✭✭✭✭✭
    Paul:

    Does your question refer to the U.S. government running out of silver in 1964, when the price of silver threatened to break through the $1.29 per ounce price the government had set? At that time, the U.S. government was running out of silver because people lined up to buy it from the government at $1.29 per ounce. Obviously the government switched to making clad coins (including the clad dimes you and I love) at that time and let the price rise to its equilibrium level.

    Or is there another time you are asking about when the government was running low on silver? Or do you mean that the entire United States was running out of silver?

    Mark
    Mark


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    robertprrobertpr Posts: 6,862 ✭✭✭


    << <i>Paul:

    Does your question refer to the U.S. government running out of silver in 1964, when the price of silver threatened to break through the $1.29 per ounce price the government had set? At that time, the U.S. government was running out of silver because people lined up to buy it from the government at $1.29 per ounce. Obviously the government switched to making clad coins (including the clad dimes you and I love) at that time and let the price rise to its equilibrium level.

    Or is there another time you are asking about when the government was running low on silver? Or do you mean that the entire United States was running out of silver?

    Mark >>



    I think he's referring to 2 or 3 years ago. I vaguely remember the announcement.
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    morgannut2morgannut2 Posts: 4,293
    I don't fully understand either--but where does our silver come from? It is mostly a biproduct of copper mining in South American (Peru), Indonesia and Australian. Increased copper prices related to growth and building in Asia, especially China, has increased the volume of silveron the market. It's also a biproduct of gold production.
    morgannut2
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    last number I heard was 102m oz. on the Comex.
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    TheRavenTheRaven Posts: 4,143 ✭✭✭✭
    I thought they where purchasing some on the open market to fulfill needs.....

    Did not think they make a big deal about it, not wanting a spike in prices....
    Collection under construction: VG Barber Quarters & Halves
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    roadrunnerroadrunner Posts: 28,303 ✭✭✭✭✭
    As far as I've read, we ran out years back and have been purchasing it on the open market as needed for the US mint.

    roadrunner
    Barbarous Relic No More, LSCC -GoldSeek--shadow stats--SafeHaven--321gold
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    Conder101Conder101 Posts: 10,536
    About three or four year ago it was announced that the stratigic stockpile of silver held by the US (which was where they got the silver for the USE and the various silver commems and silver proof sets) was almost completely depleted. Once it was depleted the government would have to then buy the silver it needed for its programs on the open market. That point has come and gone.
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    morgannut2morgannut2 Posts: 4,293
    Condor's correct. The Minrals Management Servive decided in the late 80's that silver was no longer

    on the list of Stategic Minerals started in World War II. Some were left as important Defense reserves such as magnesium, uranium, etc.

    The defense stockpiles were drawn down a few years ago, and the DOD has not asked they be relisted.
    morgannut2
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    StoogeStooge Posts: 4,649 ✭✭✭✭✭


    << <i>Paul:

    Does your question refer to the U.S. government running out of silver in 1964, when the price of silver threatened to break through the $1.29 per ounce price the government had set? At that time, the U.S. government was running out of silver because people lined up to buy it from the government at $1.29 per ounce. Obviously the government switched to making clad coins (including the clad dimes you and I love) at that time and let the price rise to its equilibrium level.

    Or is there another time you are asking about when the government was running low on silver? Or do you mean that the entire United States was running out of silver?

    Mark >>


    Hey there Mark, how is your back doing?

    Yes, I was referring to a quote I believe in CoinWorld that the U.S. had <10 Million Oz. of silver left, and with all of the silver they use with the Commems, S.H.Q.'s and Silver sets, that we were running out.

    Later, Paul.

    Later, Paul.
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    cladkingcladking Posts: 28,350 ✭✭✭✭✭
    I could look it up in the stuff PhillyJoe sent me but if memory serves there was some
    250 million ounces in mint stock back when silver was discontinued. It had been drawn
    down considerably in the previous couple years because of huge mintages caused by
    public hording.

    I've seen film of the stategic stockpile taken in the mid-'50's that was just astounding.
    The silver was in all sorts of forms with no uniformity. Some was in huge round bars
    that appeared to be twelve feet long.

    There's little indication where the mint is buying their silver but it does all come from the
    open market now. They didn't announce when they ran out but it was likely 2003.
    Tempus fugit.
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    Conder101Conder101 Posts: 10,536
    From the Silver Users Association:

    In the early 80's, the U.S. government's strategic stockpile of silver was locked in by law at 139.5 Moz. Congress has since authorized legislation to dispose of these stockpiles. In late 2000 the U.S. Defense National Stockpile Center delivered its remaining stockpile of nearly 15 Moz to the U.S. Mint for coinage programs. Since 2001, the U.S. has had to purchase silver for its coinage programs from the open market.

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