buying, selling, are PM retailers confused?

konsole

I don't know about you guys but the shear number of places I see advertisements of somebody or something buying or selling precious metals is crazy. Every mall or strip mall has ads at the entrance. Every jewelry shop makes sure passeryby's know they are buying. Then of course there are ads on tv for monex and a few others. Then online there are ads for company's selling gold on every other website I go to. So are they confused? Some buy thinking the metals will go up from here while others sell thinking the metals will go down? Or have all the buyers got the idea that if they buy low enough they know they can turn around and sell it higher right away?

OPA

It's called Capitalism. Just like any hot item...everyone wants a piece of the action.

jmski52

Gold jewelry is being bought at 30% to 50% of melt by most of the opportunists. They aren't confused.

Robb

<< <i>Gold jewelry is being bought at 30% to 50% of melt by most of the opportunists. They aren't confused. >>



And then sold ASAP. The majority of these companies are not buying gold to speculate mid to long term on.

RGJohn

Hey why not carry an article of gold with you and stop by to see what you are actually offered at different places. I'm told the numbers vary widely.
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As to your original point, I believe these folks are simultaneously doing both buying and selling. The difference between what they pay and what they get is their gross profit. They are 'making a market' and are essential. Without them we'll develop economic constipation. They're like bran flakes, kinda pricey for what they are, not very attractive in their own right, but they keep essential activity happenin'!