silver prices on ebay !!!!!!!!! big premiums over spot
bronco2078
Posts: 10,227 ✭✭✭✭✭
The other day I got a 10% off coupon from ebay and according to the fine print you can save up to $100 . So I thought well I have some ebay bucks plus I have a coupon maybe I'll snag something.
I'm watching rolls of 90% auctions and I'm seeing implied premiums of 40% or more over "spot" in some cases, rolls of mercs selling for 125 or more in true auctions.
$10 face rolls of halves at $230 or more regularly . Even rolls of 40% halfs and war nickles are selling above spot
Single 2013 ASE's selling in the 34 to 36 range depending on whether they are free shipping.
I can't find anything I want to buy even with a coupon
I'm starting to wonder if I should sell some oddball stuff there to take advantage of the premiums. 50% canadian, maybe some canadian prooflike sets , 50% british , random foreign stuff like that normally sells at a discount might be nice to convert that stuff to dry powder while I wait for the local shops to start selling over the counter again.
90% is hot hot hot , dump some under-performing parts of the stack and focus like a laser on that and fractional gold is the plan .
I've got 6 rolls of war nickles that I wanted to look through for varieties before I let them go and I don't have that CPG .
Does anyone have a link to a good big pic of the 43 over 42 variety?
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Michael Kittle Rare Coins --- 1908-S Indian Head Cent Grading Set --- No. 1 1909 Mint Set --- Kittlecoins on Facebook --- Long Beach Table 448
"Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey
After gold dropped I noticed that true no reserve auctions were largely disappeared. They were replaced by high BIN or auctions with optimistic starting bids.
I did find about 10 true auctions, put in my high realistic bids and waited. I lost on every one and the typical premium the buyers paid was about 12-15% over the now reduced melt figure.
I will do far better with major on-line retailers, even with the added charge to use a credit card.
https://www.pcgs.com/setregistry/gold/liberty-head-2-1-gold-major-sets/liberty-head-2-1-gold-basic-set-circulation-strikes-1840-1907-cac/alltimeset/268163
Ugly and plain scrap silver sells for very close to spot. Pretty and 'neat' items, of course, are more in demand.
Look for suppliers to continue to add "value added" features to their designs to capture more collector premium
Liberty: Parent of Science & Industry
<< <i>it's no surprise that as spot drops, the "premium" for numismatic material over melt rises. The opposite is true as metals advance, the premium to melt shrinks.
Ugly and plain scrap silver sells for very close to spot. Pretty and 'neat' items, of course, are more in demand.
Look for suppliers to continue to add "value added" features to their designs to capture more collector premium >>
I've been purchasing ASE's since $7 silver and AGE's since $500 gold and I have never seen premiums drop. I am curious to see if this recent large increase in premiums will stick just as all of the small ones have.
"Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey
Knowledge is the enemy of fear
<< <i>The actual value of something is not what you pay for it but what you can sell it for. Those 23x face auctions net the seller only about 19x. This is the true premium. >>
So when those same buyers are at a coin show or coin shop they won't pay the same 23X face to the dealer? They wouldn't pay 22X face to those guys in person but are happy
to fork over 23X on ebay? The true market premium is what the buyer pays. As a buyer I don't care what a seller's costs are...only what I have to pay for the item. Seller's
costs vary widely based on their business model. My favorite vest pocket dealer who does about 1-2 MILL per year in bullion purchases has minimal overhead (gas, mileage, and
Post Office). Why would intelligent sellers settle for a net 19X on Ebay when they can find ready wholesale buyers for 90%, ASE's, etc. for 20X or higher?
<< <i>The actual value of something is not what you pay for it but what you can sell it for. Those 23x face auctions net the seller only about 19x. This is the true premium. >>
Premiums are determined by what is paid by a buyer not what is netted by a seller.
"Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey
Knowledge is the enemy of fear
<< <i>Ok then, so buy that $10 FV on Ebay then immediately auction it off again. Tell me how much your PMs are really worth. >>
What my PMs are worth to someone else at a later time has nothing to do with what they were worth to me when I agreed to pay the premium in my purchase price. The price I am able to resell for will determine the premium my buyer was willing to pay. "Worth" is only relevent to the person determining the premium that will actually be paid, the buyer. A seller can set prices (and premiums) all day long. But they are not realized unless someone agrees to pay them.
It is the rising premiums that buyers are paying (not that sellers are asking) that are increasing the price spread between spot (paper) and physical metal.
"Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey