90% silver pricing.
jdimmick
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After reading a couple BST listings for 90% at which seemed high to me: I notice that apmex, and a few others have greatly increased the price on the bags and such:
So a few weeks ago when silver was 17.50 , you could hardly sell silver at 13x face, not that its down to 12.00 , everyone is asking 15x ? I just don't get it
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That just goes to show you, "value" is in the eye of the beholder, or was that beauty?
I guess my question is what are they buying it at? If they are paying a premium for it then I guess it works out. If not, it's like heads I win and tails i win.
I think it goes with the irrationality of the markets. People are buying/selling based on a lot of emotions right now. And, usually, that’s the worst time to be buying and selling.
My guess is that in addition to all of us regulars trying to find a deal with the spot drops, a large volume of new panic buyers who heard that silver is better than cash (or something?) are trying to load up. They would be less price sensitive, having not been watching the market or buying/selling for very long, not much reference.
Me, I got into this circa 2008, and I remember the big drop before the long run up... the only silver for sale around spot was 1000 oz bars, and I didnt have enough cash for one of those. Today, I dont even see those big bars for sale.
Unfortunately when i had more money to spend silver was in the 30s. Ive been underwater on my silver since 2011. I gave up on cost averaging long ago. I am probably going to sit this one out entirely.
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"Stackers" tend to react to panic situations. The sellers are taking advantage of that fact.
Spot is meaningless now.
the silver delay is from the cave-in at the mine. The shaft where they get the 1 ouncers completely collapsed.
They are trying to get to the bigger bars but those are at lower levels and the big stope is flooded.
I heard they could get to the 90% junk coin but it all needs cleaning.
Flow reversal at coin shops always takes time. This has happened before but if you're dealing with a reputable dealer, you WILL get silver.
Every time the price pukes, people think the product was laying on the shelf just waiting for them to buy it cheaper.
There’s
As the saying goes one in the hand is worth two in the bush. For some reason spot that wallstreet can control with paper contracts has ruled for many years now (investors game). That isn’t realistic and never was. You have speculators coming in now as they want silver, they control, not someone else in the form of a street name for fast selling, that is the governments at a stroke of a pen. After all I have plenty of digital dollars and stocks in other people’s name. Think MF global your money isn’t yours.
Inflation sets in what will you put that into? A bank account charging you a fee to hold your money (negative interest rates)? I enjoy my franklin set in an album made for the most part of junk silver and love getting others interested in the hobby at spot prices. Short sets of walkers or mercs what’s he downside?
A few less Starbucks, packs of smokes or beer, eating out, we all have our vises and collecting bullion won’t break the bank or your marriage 😳.
That’s my why I’ve done it for many years even unc coin silver in albums is very enjoyable and aren’t safe queens I rarely see.
I used to go to the casino, and left mad thinking of what I chould have brought, even though sometimes they loaned me my money back. I decided that wasn’t entertainment for me😫
Thats just me
l8r✌️
I was just looking the last couple days at 10 and 100 ounce bars and 90% bags. I was shocked to see what they are still going for. There is little being offered at the moment as everything seems out of stock. The ebay sales are showing at $17-$18/ounce on the bars. 90% prices were way up there, nothing like 8x/9x like I was expecting. Where can I buy silver at spot right now? I think it is all locked up waiting for the scare to end and the prices to level out. I bet the buyers are grabbing everything they can below spot price though.
Nae ta worried here me thinks, I bought in at 3.2 X face.
What it costs is irrelevant. Try to understand that bullion dealers situation. Silver is more than just supply and demand. Tons of 90% has been melted. They are no more obligated to sell than any of us are. What is your selling price?
I sell cars. What we pay to buy a vehicle does not matter. Most people have no idea of the reconditioning and business costs.
If a dealer isn't profitable, they can not provide reliable long term business. I trust the products my LCS provides. I pay a premium to reward them for their expertise. My LCS has never sold me fake or counterfeit bullion. They are always ready to purchase at fair values.
they are really trying to NOT sell any right now. Many of them are in at $17 and loathe to sell at $12
All comments reflect the opinion of the author, evn when irrefutably accurate.
Some of those casinos may permanently close .
I give away money. I collect money.
I don’t love money . I do love the Lord God.
I guess we can toss the principles of economics in the trash. If demand is greater than supply, why are spot prices declining?
I am glad I purchased a lot of silver and gold back in the nineties....I cannot say it was foresight, because I did not see the big run-up or the subsequent drop coming.... I just decided that PM's would be good to acquire and hold...and it has been...I will continue holding - and value will return and perhaps rise even further....Cheers, RickO
Huge difference between little stackers and collectors, and industrial silver demand, buying hundreds of thousands or millions of ounces to be consumed making stuff. When industry does not need silver, it tanks, no matter what the small fry do.
Maybe there should be a "spot" price for stackers/collectors different from the spot price being quoted for industrial silver usage? The two appear to be working in opposite directions.
My guess is that the current large premiums are due largely, to holders not being willing to sell at significantly lower prices than were obtainable a short while ago. So the currently available supply is much lower than it was when spot prices were higher. At the same time, the demand hasn’t decreased and might have increased.
Mark Feld* of Heritage Auctions*Unless otherwise noted, my posts here represent my personal opinions.
Wow! I just looked at ebay to see recently sold rolls of 90% silver quarters.
If silver continues to go down, maybe these rolls will continue to go up
I've been told I tolerate fools poorly...that may explain things if I have a problem with you. Current ebay items - Nothing at the moment
Big guys (Apmex, etc) are different, as they get preferred fee structures, but if a little guy, like me...no store, not a preferred seller....were to sell a roll of quarters like that, for 15x face (using the number in the OP), then take home would be <12.5x FV after mailing costs, ebay fees, paypal fees, etc.
So, what one pays doesn't really equal what the other party gets. 2.5 x FV in this instance.....
I've been told I tolerate fools poorly...that may explain things if I have a problem with you. Current ebay items - Nothing at the moment
The combination of the US Mint being out of American Silver Eagles and the strong demand for metals due to this weeks price drop have something to do with it. The silver rounds and silver eagle markets are under demand pressure and the wholesalers have increased their premiums over spot would be my guess. Same with the 90%... Try buying a Silver Eagle for 2 bucks over spot right now. You can't.
Ampex made a bet and their losing .
I give away money. I collect money.
I don’t love money . I do love the Lord God.
Does anyone remember back when silver was $4/ounce how long people tried to hold out? I know a friend bought some bags at that and held them for a long time. Was it years before people accepted the low price? months? I do remember seeing some 1,000 bars selling at that time, basically at spot.
I am with you; if the price holds long enough, the premiums will bust (or the dealers).
Well, just Love coins, period.
The bandwagon doesn't fill up until long after the opportunities ended
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I thought accepting bitcoin for precious metal was the beginning of the end for wishing and hoping
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I don’t worry about it. They have their reasons. I suspect cost plus like anyone else. Metals may rebound. Can’t say I blame them for holding at this low. Are you a big buyer from them?
I remember in 2008 or so when gold plunged taking my gold coins off the market (especially shows) then when rebounded / peaked in 2011 took huge profits - glad I did. Filled any gaps in my show cases with currency made money on that.