Have you noticed this in your area ? with seller buy backs on GOLD and SILVER ?

Looks like things there a changing, my LCS use to pay 97% of spot on both GOLD and SILVER , now he tells me its only 93% and this is because the refiners are now charging an additional 2% for processing and this is on the good stuff Buffalos, Eagles, Maples
and Krugers and another 1% on bars so is this a temporary thing or is it something we will need to live with..LOL

 

Log in or Sign up to hide this ad.

Why the heck would he be sending those coins - popular, well-recognized, and highly liquid - to refiners?

I'm guessing nearly every LCS owner is terrified at current levels of volatility, and widening their margins for self-protection.

 

I'm afraid it can become the new norm. On monday I took some generic 1 oz rounds I believe spot was around $90, they quoted me $78.75. They said they had tarnished. Some had some minor rim tone on them. They are now back in the stack. Trying to sell 90% is an issue in my area.

 

With so much volatility you can't blame them.

You don't want to buy Silver one day at $100 and just to have it drop to $85 the next.

I don't want to buy because of the volatility, or I'm just much more cautious and weary about PM purchases now.

 

This why I focus on Gold, a currency precious metal. Silver seems more of an industrial commodity, and moving away from a currency surrogate. Shifting market demands, manipulations, and industrial competitiveness seem to make Silver more volatile.

Gold volatility is more visible in DOLLAR changes, which get a lot of attention. However, its percentage change may not be as much as Silver.

For Bullion, I am watching Central Banks’ purchasing activity. They amass gold.

my thoughts…

 

A lot of folks don't seem to remember 1980 and the Hunt Brothers. How many dealers scooped up silver and held for one day to long and lost their shirts and their shops. I know of 3 in my area alone. Volatility and lack of refiners ability to keep up. Be patient, this will also cease or let up.