I've gotten into silver bullion stacking, and I have been doing some research on premiums around the market. I am curious where everyone draws the line for their bullion purchases. Here's what I've seen: Locally: 1oz rounds: ~18.2% of spot ($33.07 per oz at $27.07 spot price) Online: 1oz rounds: ~13.5% of spot ASE: avg 33.5%, up to 37.5% lately 10oz bars: ~15% 1 kilo bars: 9-11% What are you guys seeing, and at what premium do you feel comfortable adding to your stack? Do you look at it as a $ amount, or as a % of the spot price? I've only been in the game for a couple months, so I'm still trying to get my bearings. Further, I know stackers typically don't sell, and I have no plans to, but what should I expect to be offered from a LCS if I was turn sell any bullion?
I buy numismatic silver, only. The premiums are WAY above my 25% target...so I just watch and wait. If spot prices breach the $40/Oz level, I may have to thin the herd.
Not a good time to satisfy your stacking cravings. Just before Covid, dealers would beg me to take their ASE’s at spot. It has been a crazy fifteen months and all manner of insecurities have driven regular folks to silver and the cost right now is just beyond absurd. If you stack now, I believe you will be disappointed in 12-18 months. Things will normalize and when they do silver will be far more accessible.
I agree, the premiums are just too high and since the spot price of Silver hasn't budged substantially for over a year, I would pass. When you buy Silver you want to think you'll be able to sell for more than you paid, I don't see that happening anytime soon. jmho
I like to draw the line at $1 over spot for silver. Though I'll pay a little bit more for the cool factor.
At the expense of giving out a trade secret... Look for alternative buying solutions, more like a private party seller. Same goes for selling. I've been watching some YouTube videos on the bullion now dealer where he says they pay spot for G&S.
I agree as well. To me, the pm market is like the car market right now. If you buy at these prices you will pay for it in a year or two. Just too high of premiums. Historically I pay around melt for junk silver and common commems, maybe $1 over. I pay about $30 over for decent old gold. Premiums will drift back down there when people calm down again. If you are paying $14 over for an ASE in the market, you just lost $11 since that will be the highest premium you will get for it in the future. I wanted to buy a 2 year old minivan this year, but will hang onto the old one another year. They are up about 35-40% versus 2 years ago. I will wait. Buying today is simply locking in more guaranteed loss than normal in this market.
My pencil recently broke..LOL, simple pay the premium are dont buy, I am continuing stacking but you can only get the best possible price wants thats achieved your own your own.
