Is anyone buying silver at $44.56

Discussion in 'Bullion Investing' started by Wallie2, Apr 20, 2011.

  1. fretboard

    fretboard Defender of Old Coinage!

    Only occasionally! I would tell more but then I would have unwanted competition. :D
     
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  3. SilverBlue

    SilverBlue New Member

    I've purchsed two 1oz silver bars from Scottsdale this month with what money I would normally waste on xbox games, fast food, etc. I feel I actually got a sound investment doing so(even if the prices are a little high) because i've actually got something of value to hold on to and didn't blow my money on something worthless.

    If the prices stay the same(Or not jump much higher) I will probably purchase a couple ounces each month. Thats the max i'll buy until there is a dip. I would LOVE to see a dip going into next month, and then i'll invest in a lot more of it. As for now, a couple of ounces each month is a nice start IMO.
     
  4. BusterHighman

    BusterHighman New Member

    I don't know much about the eBay marketplace and I don't have time to reasearch it now, but I wonder why coins would be selling at a significant discount to spot as you suggest, while bullion is going for a premium. My guess is that there are a lot of people who own silver and badly need dollars due to the real economy crashing. Someone trying to feed their children can't wait around to see how far the PM bull market can run and they're happy to get over $40 an ounce for their Silver. I believe that these opportunities will be flushed out soon. I doubt there will be many people who were holding at $50, but want to sell at $60. Perhaps $100 would bring heavy selling, but who knows?

    The Silver market is being driven by the big players now. The recent melt up is most likely attributed to JP Morgan unwinding their massively underwater short position, which is allowing Silver to break free of manipulation and get to it's fair value.

    I wonder what price you are waiting for to buy and whether we will ever see that price again. Maybe things will go back to the way they were in the early 2000s and PMs will fall back to their old levels. I believe we are entering a new normal period for the global economy where people will be EXTREMELY skeptical of holding any significant wealth in paper assets. I also believe that we'll find out who's right sooner than later.

    I certainly hope no one is making investment decisions solely off of what I say. They should AT LEAST send me a private message before doing so. I encourage everyone to get out there and learn about what's going on with the global economy, US Government, Federal Reserve Corp, stock markets, news media, etc.

    ZeroHedge.com is a good place to start.
     
  5. Zirbg

    Zirbg Member

    I believe silver has a long way to go before it tops out. The weakening of the dollar is the biggest factor in addition to the mid east turmoil which adds to the despair. So yes, silver is still very attractive, perhaps not for us on the forum. I have not sold anything.
     
  6. Palladium

    Palladium New Member

    I am into the investment of silver for the long haul. If silver is on a bubble (which I do not care about) I think it has at least 5 more years to go. I am buying some silver at these prices simply because of the worthlessness of the paper dollar. I suppose that I am in the category of what some would call a "Survivalist" (and of course far worse) but I do believe a "Revolution" is about to happen and there are thousands of scenarios into which PMs fit in. I believe the two most likely scenarios to occur include gold/silver being used for barter and/or a new currency (whether national or worldwide) developing, which would therefore result in me dumping almost all my PMs for the new currency.

    I am not trying to make a quick buck in a bull market. I am trying to hoard PMs for the sole purpose of security and safety. I am a 100% believer the collapse of the monetary system that we know today. In that belief, I do not buy PMs based on the value in a worthless currency but only how much that worthless currency will allow me to buy. Seems contradicting.. I know.
     
  7. medoraman

    medoraman Well-Known Member

    Be careful what you wish for. There are no good answers here. If the government does clamp down hard we will se unemployement rates and interest rates like in the early 1980's. Any path we take is bad, since they have already spent the money, its just how the bill will be paid, either through tax hikes, confiscation of assets, or inflate through it, (stealing from dollar holders). I never understood how the public cannot get it through their head that government spedning is not "free", and they WILL pay in the future.
     
  8. medoraman

    medoraman Well-Known Member

    Quantitatively weaker dollar would account for about 20% of a commodity's rise. Silver is up much more than that, so I think the answer is much bigger than a weaker dollar.
     
  9. desertgem

    desertgem Senior Errer Collecktor

    To be fair to JP Morgan, they were basically forced to acquire Bear Sterns a couple of years ago by the Federal Government. The deal was reached that JPM would be compensated for losses in doing so. This was a done deal by the time that regulators found that Bear Sterns had a HUGE naked short position in the commodity markets in Silver and Gold. JPM would have forced the US Gov. to compensate for the costs of obtaining silver and gold to cancel the naked shorts. If done all at once, yes, the prices would have jumped then, but then settled back down. Instead it has been done in a graduated mode which has saved the US a lot of extra dollars, back when the beginning was more shakey, and allowed the price to go up more gradual also. IMO.

    Jim


     
  10. yakpoo

    yakpoo Member

    If a "quantitatively weaker dollar" accounts for 20% of a commodity's rise, how come I can still buy a Snicker's Bar for 99¢? :scratch:
     
  11. midas1

    midas1 Exalted Member

    Is the Snicker bar the same size as it was a year ago? Most food items I buy are now sold in lower weights even though the package is the same size or the price has gone up sometimes significantly.
    Same thing with the goods i buy at Home Depot or most anywhere I shop.
     
  12. yakpoo

    yakpoo Member

    Yep...that would still be your Walmart "Big Boy"! :D

    ...but I agree, increased commodity prices will squeeze profits if those costs can't be passed along. Something's gotta give; we'll either see higher prices or weaker profits six months from now. Since I don't see any big salary increases being handed out, I would guess "weaker profits"...(meaning lower stock prices). Just a guess on my part.
     
  13. InfleXion

    InfleXion Wealth Preserver

    If it were just a weaker dollar then I doubt we'd be seeing this run. I could try to list the myriad of influences that many already know, but the bottom line is that things are volatile right now in general, and leadership does not inspire confidence. PM's have their place in history for a reason, and if you can barely pay your bills you can't afford gold without an undesirable premium. Silver was the logical choice for me, and will likely be for the majority as long as there are people shifting away from fiat. The trend seems clear to me for the time being. Gonna go pick up some more junk silver :D
     
  14. Bluesboy65

    Bluesboy65 New Member

    Agree 100%, there is no solution that does not involve pain and it only gets worse the longer we delay the day of reckoning.
     
  15. Bluesboy65

    Bluesboy65 New Member

    Amen to that! There are an incredible variety of agenda's in here, friendship, argumentation, advocates, defenders of the status quo, fortune tellers, learning, jabbing on and on. Makes a good brew of ideas and perspectives for one to consider in developing their own opinion. Hard for me to understand how an "adult" could miss this and blindly follow someone's opinion as fact.

    BTW, the "IMO" is kind of funny to me but it is ubiquitous here. Unless you are quoting someone or citing a source, everything in here is opinion. The IMO tag goes without saying ... IMO! :D:D
     
  16. Bluesboy65

    Bluesboy65 New Member

    I think you will get your chance when QE2 ends in June. Don't think silver will go to $20 but I do think the dollar will gain strength (but man is it sucking wind right now) and silver will pull back to mid-thirty levels. I think QE3 is inevitable and when/if it is announced, silver will once again surge and break new highs. If I see this post-QE2 pattern I will be adding to my position.

    Bluesboy65
     
  17. midas1

    midas1 Exalted Member

    Neither party has the cajones to really tackle the problem. Remember the Republican election promise to cut $100 billion from the 2011 budget? Turns out the cut is around $352 million.
    Remember Obama's election promise two years ago to cut the "Bush deficits" ($500 billion I think) in half? He tripled the deficit. Congress & Senate spend around $5 billion a year in expenses.
    Guess it cost a lot of money to give the country to China, Wall St & lobbyists. Oh, here's a good one -

    Wall St. Housewives Learn How to Spend Tax Money
    http://www.rollingstone.com/politics/news/the-real-housewives-of-wall-street-look-whos-cashing-in-on-the-bailout-20110411[/url]
     
  18. yakpoo

    yakpoo Member

    This post got me thinking about "who" is actually buying older silver coins at these prices. I just checked eBay and I see Unc rolls of silver Washington quarters and Franklin halves selling for as much as $400/roll. Unc rolls of silver Roosevelt dimes are selling for as much as $200/roll.

    I gotta think the folks paying those prices may not be all that experienced in the proper handling and storage of silver coins. This episode in numismatic history could result in a lowering of higher end silver coin populations.
     
  19. coinmaster1

    coinmaster1 Active Member

    Not only will I not buy silver at $45, I won't buy it at even $40. I will definitely wait for prices to dive again.
     
  20. bahabully

    bahabully Junior Member

    Heck I'm all for the printing of more money,, the faster we can make an oz of silver worth $10,000 the sooner I'll have my house paid off. Sounds silly, but in reality there are still trillions of bad mortgage dept out there to dispose of. From what I'm seeing, I think the name of the game is to inflate that debt down to a level which the politically connected buddies at the FED banks can afford to lose. I'm good with it, bring it one.... PRINT baby, PRINT that dough !!!
     
  21. mrmac

    mrmac New Member

    I can't afford to buy much but I am still buying an ounce or two each payday - I'm new to buying bullion and I'm in this for the long term - I think we will see at least $75 in 2012.

    If the prices drop - I'll get more for my money, if not I still expect to make a profit - win/win :)
     
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