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<p>[QUOTE="medoraman, post: 1277362, member: 26302"]Please be careful when predicting a "physical market divurgence". I have been around dips before, many actually, and I could have told you that premiums would have gone up this time, just like when silver dipped to $10 a few years ago, just like the early 80's, etc etc. This isn't my first rodeo, and this always happens on declines. No one sells, and people buy, until the market settles in and then premiums go to normal when enough supply hits the market.</p><p><br /></p><p>The inverse happens at peaks, and on the way down. No one buys, everyone wants to sell. I have seen the best offer for 90% silver being 8x face less than the market, and I have seen coin dealer refusing to buy bullion bars at anything more than half market. This is the problem with physical markets that the paper markets were created to solve, actually.</p><p><br /></p><p>Just some historical perspective. You could be right that "this time its different", but I will simply judge it to be just like the previous times until proven different. I believe its a safer bet.</p><p><br /></p><p>Chris[/QUOTE]</p><p><br /></p>
[QUOTE="medoraman, post: 1277362, member: 26302"]Please be careful when predicting a "physical market divurgence". I have been around dips before, many actually, and I could have told you that premiums would have gone up this time, just like when silver dipped to $10 a few years ago, just like the early 80's, etc etc. This isn't my first rodeo, and this always happens on declines. No one sells, and people buy, until the market settles in and then premiums go to normal when enough supply hits the market. The inverse happens at peaks, and on the way down. No one buys, everyone wants to sell. I have seen the best offer for 90% silver being 8x face less than the market, and I have seen coin dealer refusing to buy bullion bars at anything more than half market. This is the problem with physical markets that the paper markets were created to solve, actually. Just some historical perspective. You could be right that "this time its different", but I will simply judge it to be just like the previous times until proven different. I believe its a safer bet. Chris[/QUOTE]
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