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Am I missing something here?

SDSportsFanSDSportsFan Posts: 5,136 ✭✭✭✭✭

Silver is priced today at around $16.50 an ounce.

So, why are multiple people bidding upwards of $40 an ounce here: ebay.com/itm/382167645735?rmvSB=true&autorefresh=true ?????

Steve

Comments

  • BillsonBillson Posts: 77 ✭✭✭
    edited July 24, 2017 3:13PM

    @SDSportsFan said:
    Silver is priced today at around $16.50 an ounce.

    So, why are multiple people bidding upwards of $40 an ounce here: ebay.com/itm/382167645735?rmvSB=true&autorefresh=true ?????

    Steve

    Only 25,000 made!
    here is a link to Coin World article coinworld.com/news/precious-metals/2017/04/perth-mints-swan-silver-bullion-takes-flight-fast.all.html

    Successful BST transactions:
    Buy and sold to Wondercoin,
    Buy from: mbogoman, sol15g

  • gsa1fangsa1fan Posts: 5,566 ✭✭✭

    People collect silver in all forms. Wait until a 3 or 4oz Engelhard comes up for auction! LOL

    Avid collector of GSA's.
  • cohodkcohodk Posts: 19,127 ✭✭✭✭✭

    Because spot price is just an illusion created by the paper silver traders to create frustration among silver stackers to get them to dump their silver at severely discounted levels. The real price of silver is much higher. ;)

    Excuses are tools of the ignorant

    Knowledge is the enemy of fear

  • SDSportsFanSDSportsFan Posts: 5,136 ✭✭✭✭✭

    @Billson Thank you; that answers my question perfectly!

    Steve

  • OPAOPA Posts: 17,121 ✭✭✭✭✭

    @SDSportsFan said:
    @Billson Thank you; that answers my question perfectly!

    Steve

    Since the sellout, the coins are trading online at prices from $55 to $60 each

    "Bongo drive 1984 Lincoln that looks like old coin dug from ground."
  • derrybderryb Posts: 36,823 ✭✭✭✭✭
    edited July 24, 2017 4:38PM

    Do not expect the value of the real, limited stuff to be the same as the spot price determined by unlimited silver futures promises. This "premium" is the difference between real supply and make believe supply. Fabricated silver items in low supplies normally bring higher premiums over spot price.

    "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

  • gsa1fangsa1fan Posts: 5,566 ✭✭✭

    @derryb said:
    unlimited supply in paper silver futures market (determines one ounce spot price) vs. limited 25k mintage one ounce silver coin. The difference in price is the difference between unlimited and limited supply.

    Do not mistake the spot price of silver futures promises to be the same as the value of the real stuff.

    Buddy if you gotta sell HOPE you get spot! That is why I go by spot price Real time value.

    Avid collector of GSA's.
  • derrybderryb Posts: 36,823 ✭✭✭✭✭

    @SDSportsFan said:
    Silver is priced today at around $16.50 an ounce.

    So, why are multiple people bidding upwards of $40 an ounce here: ebay.com/itm/382167645735?rmvSB=true&autorefresh=true ?????

    Steve

    Precious Metal spot prices (your 16.50 and ounce) are determined on the futures markets and are set by paper contracts that do not normally involve the purchase of physical metal. PM physical metal prices are normally higher than this spot price with the difference in price referred to as the "premium" over spot. Many things including rarity, quality and demand will affect the premium for specific physical items. Even a plain old generic bar of silver will normally bring some premium over the spot price. There is no limit to the number of possible futures contract. There is a limit to physical silver and the things fabricated from it.

    "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

  • rickoricko Posts: 98,724 ✭✭✭✭✭

    Good explanation derryb.... and the ebay final price comes to about $45 per coin... and sold individually, the seller could easily realize a 30% profit.... Cheers, RickO

  • bronco2078bronco2078 Posts: 10,225 ✭✭✭✭✭

    25,000 doesn't seem all that rare for something made yesterday

  • BaleyBaley Posts: 22,660 ✭✭✭✭✭
    edited July 25, 2017 6:23AM

    Collectors gonna pay premium.

    Then producers gonna make new stuff.

    Collectors gonna hope to break even.

    Liberty: Parent of Science & Industry

  • carew4mecarew4me Posts: 3,471 ✭✭✭✭

    As spot price falls..the gimmicky limited edition mintage stuff rises


    Loves me some shiny!
  • Downtown1974Downtown1974 Posts: 6,796 ✭✭✭✭✭

    Could part of the realized price be due to it being a Probstein aucion? I don't know the guy from a ham sandwich, but he has a tendency of getting strong prices for his items.

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