Why is SILVER being discounted so much versus GOLD ?

Where I live here in Vegas we our currently at 95% on selling generic GOLD bullion about 96% on AGE,S and Buffalos which I consider fair and everybody can take a nibble
and be happy

However when you consider SILVER its not spoken for in the same way for example SILVER at $75 my LCS is giving back only $63.75 which equates to a miserable 85% !
talk about a discount any the funny part your premium still remains the same especially on ASE,S with premiums between $5 - $7, my shop owner is telling me that SILVER demand is low and the refiners are giving rock bottom prices even for.999 fine and no junk SILVER !! is still par for the course.

 

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I think gold serves a different constituency than silver.

CBs accumulate gold, silver has industrial usage.

I believe silver trades $10-15 billion a day, whereas gold is closer to $75 billion a day. Silver is more volatile, so unless you're running it to a refiner (backed up right now)....it's going to trade at more of a discount since for a (small) retailer.

 

A lot of places here (northeastern USA) that advertise "we buy Gold" aren't buying silver at all. The refineries aren't buying from them, so they aren't buying from us. Sterling jewelry does better if you sell it direct to consumer.

 

Simple, it's over valued.

 

Even at 63.75 most everybody on here is still way ahead!! what's that saying "You can't go broke taking a profit"

 

Keep accumulating. Don't give it away at these prices. Let the refiners clear out. Once they start buying again the weak hands have been shaken out. We'll see what happens.

 

If you were buying silver, would you pay the current spot? Yet you expect to get it as the seller? I have been buying physical .999 since the mid-2000's in the $7-8 range. When it hit $60 I began selling pounds (not ounces) over the course of a few months. When you buy today and sell six months later, a $5-7 premium is what you get.