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Dealers got caught in this gold decline.
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<p>[QUOTE="medoraman, post: 1272253, member: 26302"]This happened in the early 80's as well. I have posted numerous times how the physical market is "sticky", meaning you cannot buy and sell at market prices, especially in times of movement. All through the early 80's dealers simply refused to sell at market price, saying. "silver is undervalued, it will go back up". Basically they did not want to take an accounting loss, so they refused to sell at market. Only after a few years of having this inventory on hand, and more silver coming onto the market and being sold at market price, did this old stock get sold at reasonable prices. Even if PM went down and stayed down, I have said it would be a couple of years before all of the dealers would give in and sell at reasonable premiums again.</p><p><br /></p><p>However, try to SELL gold to APMEX today. I bet you they will quote you the market! <img src="styles/default/xenforo/clear.png" class="mceSmilieSprite mceSmilie1" alt=":)" unselectable="on" unselectable="on" />[/QUOTE]</p><p><br /></p>
[QUOTE="medoraman, post: 1272253, member: 26302"]This happened in the early 80's as well. I have posted numerous times how the physical market is "sticky", meaning you cannot buy and sell at market prices, especially in times of movement. All through the early 80's dealers simply refused to sell at market price, saying. "silver is undervalued, it will go back up". Basically they did not want to take an accounting loss, so they refused to sell at market. Only after a few years of having this inventory on hand, and more silver coming onto the market and being sold at market price, did this old stock get sold at reasonable prices. Even if PM went down and stayed down, I have said it would be a couple of years before all of the dealers would give in and sell at reasonable premiums again. However, try to SELL gold to APMEX today. I bet you they will quote you the market! :)[/QUOTE]
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Dealers got caught in this gold decline.
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