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<p>[QUOTE=&quot;medoraman, post: 1732529, member: 26302&quot;]Exactly. What many people do not &quot;get&quot; is they lost the money the instant the market dropped. If the market drops from $30 to $25, then they sell based upon $25 market, they do not lose when they SELL, they lost when the market dropped. Its called &quot;mark to market&quot;, revaluing inventory on market values as opposed to purchase cost. This is why more astute dealers will hedge their inventory so they do not incur this risk.</p><p><br /></p><p>Sometimes like 2008 the market will bounce back. Other times it will be like the early 80&#039;s and just slowly keep dropping. Lots of dealers went out of business in the 80&#039;s since they kept &quot;not wanting to take a loss&quot; and held their silver from the low thirties all the way down to single digits, not selling anything along the way. I distinctly remember a dealer in about 1984 pricing junk morgans at $25 at a coin show. He had the same pile like 12 shows in a row. I asked him once why so much, since by then BU rolls were only going for $15 each, and he said &quot;he had that much in them&quot;. I do not think that pile of his ever declined, and eventually he was no longer at the coin show. <img src="styles/default/xenforo/clear.png" class="mceSmilieSprite mceSmilie3" alt=":(" unselectable="on" unselectable="on" />[/QUOTE]</p><p><br /></p>

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