What the Heck Are We Up Against With PM's?

Silver is down, gold is down, platinum is down but all the premiums are still up like a price gouger from hell, what the heck is going on? I know many of us have some PM's and we're all hoping to make a few dollars minimum. Some are stacking silver and some are holding gold, still others are holding platinum and other metals. Many silver stackers are still buying as we speak, smart move or not? Are we all simply wishfully thinking and stocking up on a pipe dream? What's next, are we all gonna take it in the shorts or what? Just thinking out loud here! What are your thoughts?

 

Log in or Sign up to hide this ad.

I stopped accumulating any silver last year when spot was in the $11 range and the premiums were $5. Almost 50% premium was just a 'tad' too much for me. I figured what I've got already is plenty.

When spot returns to below $16 and premiums return to $.79 to $1.49 I'll buy again. Until then, nope. Not interested.

 

Years ago, when I watched the charts I drove myself nuts. It was as stressful as my daily work. I finally resolved that I was just going to enjoy gold and silver as a sideline of my main hobby which was coin collecting. I'll go months now without looking at the charts. We have no more control of those charts than we do over the weather.

 

Hello Randy,
I believe your recent approach is healthy, however I do feel for those playing the PM game and hoping they have played their cards carefully.
Personally:
Until Au falls to $900/ounce, for myself it's 'What Me Worry' time. The only silver bullion I have is a complete ASE set in Dansco...No worries there either!
but then again I don't consider myself a serious player.
J.T.

 

Honestly I don't entirely care what spot is most times - but when I am paying beyond a 15% premium over spot I feel robbed.

 

Premiums are staying extremely high because people are willing to pay them. The severely mathematically challenged should be able to figure out they’re putting themselves in a permanent hole.

 

price up or down really doesn't matter, everybody wants there piece of the pie !

 

If I remember correctly, the premium for physical bullion is a reflection that spot prices these days reflect "paper gold," or options. If you want physical possession, you will have to pay a premium for it, as many others in these uncertain times are seeking the same protection.

 

IMHO they're discouraging small fry collectors like us from buying and only letting the big boys--large bullion dealers--buy in. Have you noticed that small quantities of 90% coins are not available from a lot of these guys, but bags of $500 or $1000 face ARE? It stinks to high heaven if you ask me.

 

If there's demand for the big bags, they'd be foolish not to give them priority over the small orders. More profit for less effort.

Large bullion dealers have no motive to support small-fry collectors. They aren't trying to encourage interest in a hobby. They just want to move metal as quickly as possible.

 

if you aren't buying 150 dollars worth online you're wasting their time AND yours

 

And look at those STUPID wait times, you could drive there and pick it up..LOL

 

I have enough so I don't have to play that game.

 

Agreed, the silver market today is a huge gamble and the house will win, most of us know that and stay out of it! Around three or four months ago I almost went out on a limb and bought a tube of ASE's for $500. I didn't buy, glad I didn't too as a couple months more and the sale price was climbing like crazy. Happy I don't have the silver bug but I wish gold would move on up! Sometimes I forget, but I gotta remember, long term, long term!

 

I think it will be sometime before it gets
that low, it took a long time to move up
this high but still overpriced.

 

A lot of PM money moved to cryptocurrency and will continue to do so.
I suspect BTC and other cryptocurrencies will deflate in price after China and India cryptocurrencies are released.

 

You could be right and that may be a big reason why all prices on PM's are stagnating today. I know there's a lot of people who have bought bitcoin and made profits in a small amount of time. I may miss that boat as I'm not ready to buy into bitcoin at all. Time will tell what happens to all of the above!

 

". . . I may miss that boat as I'm not ready to buy into bitcoin at all. . . "
I suspect the cryptocurrency market is going to go way way down upon the release
of crypto by China and India which will give you a chance to get in.
Missing the market? I remember when BTC was less than $100.
I thought I'll invest $2000.00 then got sidetracked by another investment and didn't buy BTC.