Silver bullion at the shop

So I am still kind of a noob at this hobby and stopped by a shop near me. I ask if they had any silver since it is down lately. They show me a couple 1 oz bullion coins and tell me they are $26. And then shows me some 2011 American silver eagles and tells me those are $27. First off what's the difference and two are these good prices? Thanks again.

 

Log in or Sign up to hide this ad.

Go with the eagles. Not a bad price given the current spot price.

What were the other bullion coins?

 

I'm not really sure. Are there certain ones I should look for?

 

Are you buying bullion or are you collecting?

 

Well I'm not sure. I'm on a little bit of a budget. So I guess for now just a little silver investment.

 

If there's only a dollar difference on the spread, buy the ASE.

 

What green18 said. Thats not a bad price on the Silver Eagles, wish I could find them at $27.

 

I'd pay the extra dollar premium for the eagles over regular 1oz rounds (if that's what those are).

 

Shoot. Mintproducts.com (where I like to buy) wants $29 and change. Tack on the shipping and it's well over $30.


Local deal most amiable OP.........

 

Thanks guys. I think I might go get me 4 or so of the eagles. Hope I didn't miss my chance though.

 

Let us know how you make out!!

 

Make sure it within the budget , as silver can go down again as readily as up or flat. Make a plan as to how much you can afford or afford to lose and then go and do it. The price is fair for ASE, but if they were sure they would go up rather than down, they would be keeping them for themselves. Be smart, don't just follow a crowd.

jim

 

How would they stay in business if they did that? They make their money off the spread. They may be investing their profits in bullion after paying their bills/living expenses, or not...

 

It was described as a 'shop', so if they are depending on bullion sales to stay in business they are in for hard times.They preserve their money by holding if they are sure ( as I mentioned) that silver is going back up. You can't survive on a negative spread.

The important part was directed towards the OP to keep within his means as a gain in PM is no sure thing,

 

They should be making their money off the spread, but as we've seen recently, not all bullion dealers are of this mindset.

I think there's also something going on with the supply side. My LCS that has always had very consistent premiums on ASE's just raised their premium from $4.50 to $6.50, and they're still sold out. I asked about it and was told that their supplier raised his premium and is also sold out.

So what the heck is going on? It seems like the only place silver is at $23.38 is on paper.

 

The supply of bullion is a bit tight right now in some areas. It has been for a few weeks.

 

I get that, and it seems as a result that everyone from the LCS up through the chain are charging higher premiums than normal. To me, that's the sort of thing that should be reflected in the spot price, but spot price is driven largely by paper contracts.

Drives me nuts I tell ya! :goofer:

 

Sheesh! No Kidding!

For whatever reasons I didn't have any 2012 Bullion Silver Eagles for my Dansco. Perhaps I was distracted by the anniversary sets?? Whatever!

At any rate, the last couple of coin shows I went to, the 2012 Bullion Silver was at the top of my list! The LAST show I was at was a huge show but............nothing! Nobody had them.

So..............I went to APMEX (who didn't have them) and created a "want" list. APMEX got them last week and sold me 3 at $35 each.

 

So I ended up going to get 6 of them at $27 ($160). He has three more but not sure if I have the extra funds right now.

Thanks for looking out for me guys but my first rule is spend within my means. I have three kids and while most of my money goes to them. the little I have for myself gets invested a little into their future. Anything I get I try to get multiples of three. No fighting when I kick the bucket.

 

Lets hope the bucket is a long time away