Metals on the Move

Hello everyone, looks like things are getting interesting in the Metal Market.
Metals are on the move!

What are your thoughts on recent activity in the Metal markets?

 

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Might be an actual breakout this time.

Should have backed up the truck at the LCS in February, but I did pick up a couple of pre-33s in really nice condition anyway before the price went on the rise!

Not buying or selling at this point, though.

 

Things to keep an eye on.
BRICS Nations Annual Summit
October 22-24 2024

It is speculated that BRICS may release a Gold Backed Currency.

 

Yep. There's a lot of things going on that are driving the metals right now.

I wouldn't be surprised to see a correction, but it's looking pretty interesting...

 

Maybe this belongs in the bullion topic. Nothing I own is tied to the metal value, but I guess it's good for some and bad for others.

 

Gold to the moon!

 

All our coins are made out of some form of metal.

 

I thought I was clear but I'll rephrase - the coins I own have minuscule metal value relative to their collector value.

 

I heard a report about that myself.... Great for gold. Not so much for the US buck.

 

Actually the US Buck has been gaining strength for the last month. Until today!. Despite the Fed lowering rates. We’re where the world wants to invest. We’ve been ‘Running against the Wind’ but still going up.
Enjoy the ride kids
And when silver goes up collectors feel wealthy and willing to buy other coins and collectibles
https://www.marketwatch.com/investing/index/dxy

 

One of the best, most honest songs ever.

 

Yes. As a nation I would not want to hitch my wagon to the BRICS train. Why on earth would anyone trust Russia, China or Iran to actually have the gold to back a currency?

 

Silver scares me.

It wouldn't take much at all to get a buying panic going since we've been dumping it in garbage dumps for more than 30 years now. Artificially low prices simply assured that there would be maximum use, minimum recycling, and the most possible waste.

Now it seems everyone thinks they should lay in a supply because the world won't function without it.

 

Silver is in a supply/demand deficit and it’s going to increase. And along with it the price is going UP
https://carboncredits.com/silver-to-see-growing-deficit-in-2024-as-supply-struggles/

 

"Newman highlighted that while identifiable silver inventories and off-exchange metal holdings remain considerable, some of these reserves may be tightly held. Consequently, the impact of ongoing deficits on the market remains to be seen."

Yes. Exactly. There has always been a balance between what is sold and what is bought but this balance would break down in a buying panic. Not only do those without silver want to get on the boat but those already on the boat want to go as far as the boat will take them. So now what happens when hundreds of industrial concerns and militaries suddenly want to secure a supply of silver for the future?

I would remind you that the aggregate amount of silver held by individuals and companies is quite small. We have been living hand to mouth with silver as a few in US banks have made vast fortunes keeping the price low and watching silver flow into landfills. Low prices have generated vast profits to the few. Just like defective refrigerators and planned obsolescence generates vast profits and fill the garbage dumps so too does every activity that suppresses prices and creates garbage.

I would estimate total world supply at around eight billion ounces of which several hundred million will always be unavailable regardless of the price. Much of the rest is already in the supply chain. A lot of silver is no doubt sitting in bank vaults and has several owners because "reserve banking" is highly profitable to the few. A lot is backing for ETF's and is not readily available to produce cars or refrigerators that don't work.

Of course a lot sits in jewelry stores and coin shops around the world and a lot of this will be sold but it's not enough to feed a sustained demand.

So where is Russia and Frigidaire going to buy their silver? Are they going to line up at coin shops like people did to sell silver in 1980? How many tea sets will it take to satisfy Russian demand alone? How many tea sets are left after so many were destroyed in 1979?


It's going to be a dangerous time to buy silver going forward and it may already be. The simple fact is silver can move violently in any direction at any time. At over $32 an ounce wise investors would already avoid it. But, people get whipped into a frenzy and always want to jump on whatever is popular because they'd rather go broke doing what everyone else is than chart a course that leads to profit.

I expect fireworks Monday and I've still got metal to sell. I'm not selling because I think we're near the top but because of my age and mostly because I've always been a fan of making a profit. I'm expecting interest rates to go back up and cash can be a good thing sometimes.

I've long believed that one day silver will simply become revalued in everyone's minds. This could happen pretty suddenly and may well be underway. Even if holders like me are selling the total brand new demand backed by untold billions of dollars can simply overwhelm it.

 

The more solar panels that are used the higher it will drive up silver. Silver has too many industrial uses but the supply is now down due to years of suppression.