Silver under $12 in last 24 hrs

If you’re trying to hit that moving target, I hope you’re a good shot. I’d Try and aim at $10. Its $13 & change now down $2 in 1 day. Should be interesting what tomorrow brings

 

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Saw 5-6 ebay site reducing bullion offers today to $14/per oz. getting close to my number! keep coming I'll pull a trigger for a latter day!
Just left my pal Wayne Beardslee in Hilea 14days
beautiful weather then crappy 4-5 days after I left !

 

I'd pick some up but I'm not sure we have hit the bottom. Also good luck finding physical for a decent markup right now anyway.

 

Agreed see 10 gram bars at $13.65 but close was $13.10?

 

Wow, spot maybe down but their are super premiums on most things right now.

 

I can wait forever. Can they?

 

emotion buyers buy immediately without thinking of checking spot vs buy price. So they end up paying a hefty premium. Then the sellers have no reason to lower the premium until buying eases up.

 

I remember when it was said on here when it goes down to such a price I will back the truck up.. I backed up.. dropped the tailgate.. and there is no silver at spot or near spot that I can find... Either you all already knew this and didn't say nothing.. or I learned something..

 

That is always the key. Remember when it came down from $49? All of the way down, sellers wanted higher than average premiums on their physical PM. Even when it got down to $15 they wanted $18 or more. Time, meaning more physical hitting the market, is what eventually washes away such premiums.

It has always been that way with the physical pm market as long as I remember. It was the same in the 1979-1980 runup. You couldn't buy at decent premiums for at least 6 months after prices died down. This is why I advise people to buy physical when its boring and no one wants it, the premiums are down significantly. I bought all of my gold at melt, and most of my junk silver purchases the last 4 years was at or below melt.

 

I always bought ASEs at boring prices and I always reacted to the Premiums but only when they were low. The lower the premiums, the more boring the market was. They needed to stimulate sales.
Same with AGEs.
I only have only bought Proof APEs for the reverse designs and those are always stupid premiums no matter what it seems.

 

And wasn't it also true that you couldn't sell at anywhere near spot price on the way up to the peak?

 

Oh of course. My next door neighbor was an early metal detectorist. He had a couple of coffee containers of dug silver coins. He was smart and sold off when silver got up to about $35. I believe the price he was paid was the equivalent of about $27 an ounce. He said he shopped around a lot, and this was the best by far price he found. He was still smart, since within a year it was below $10 if I remember correctly.

I know many on PM boards hate the paper market, and believe it is manipulated, etc etc., but this massive spread and how long it takes is exactly WHY the futures market was created. It is WAY cheaper and faster to buy and sell on the futures market than physical. A smart person would buy paper pm at really low prices, and hold on to them until physical premiums declined and then sell the paper and buy the physical. I believe Jim has done so, and he is whom I would consider an intelligent man. How this would work would be:

Say silver futures drop to $9 an ounce, but physical is still $17. Buy at $9 paper, hold it until things calm down. Maybe it goes back up to $15, and premiums lower. Sell your paper at $15, buy physical at $17. You still paid $17 for the physical, but only $2 premium versus $8. Net you have $11 in that silver.

 

I'm saving my cash now. Not going to back up the truck for silver. Will fondle my gold though.

 

It's a dip. Time to buy. If you can find any place that has silver or silver coins.

 

Ebay sellers are sky high. I guess it’s just a wait game.

 

Brick and Mortars, Provident, etc. are selling Silver Eagles for over $20. It's like they didn't get the memo. Who the heck is buying at those prices? Best I can find now is around $15.50 and ounce for a 10oz bar.

 

I asked myself the same question but there are bids on Bay for those insane prices. It dropped another buck today so I guess sellers went up 5?

 

I’m missing something very simple. Why are buyers willing to pay such premiums?

 

Shill buyers? Not accusing anyone. Just a 'maybe'.

 

They know the price variance. I asked my bullion dealer today over the phone. The major retailers are scared to reduce there prices not out of greed but they are concerned that such a massive price reduction would hurt the market even more. Thats me and my dealers theory,