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JerrySpringer
Penny Hoarding Member
669 Posts |
 Posted - 10/02/2008 : 11:30:20
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On Tuesday, the wife bought a ASE for $3.50 over spot. Today, same store wants $4.50 over premium. Seems likes they are trying to keep the price fixed at $15.50 per coin no matter how low silver goes. The wife says the shops need to make money.
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CoinHunter53562
1000+ Penny Miser Member
USA
1805 Posts |
Posted - 10/02/2008 : 11:42:46
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| She is right...shops arent non-profit businesses. Plus they themselves are having to pay premiums to procure stock. Too many people pay attention to the spot price when in reality that's tied so heavily to the paper price for silver stocks. Everyone knows that physical silver is not trading at or near spot. |
My hobby: collecting real money 1 copper cent or nickel at a time.
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kavajava
Penny Collector Member
USA
490 Posts |
Posted - 10/02/2008 : 11:52:52
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| supply and demand in a FREE market...not a manipulated paper market... |
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CoinHunter53562
1000+ Penny Miser Member
USA
1805 Posts |
Posted - 10/02/2008 : 11:54:51
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quote:
Originally posted by kavajava
supply and demand in a FREE market...not a manipulated paper market...
Bingo! |
My hobby: collecting real money 1 copper cent or nickel at a time.
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JerrySpringer
Penny Hoarding Member
669 Posts |
Posted - 10/02/2008 : 12:07:35
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| The thing is, silver was great at $15/0z and was OK at $18/oz. Now it is $11/0z. It should be fantabulous. Instead, sinking feeling in my gut is they are rigging market as usual and there is no correlation to anything with the metal's price. My only comment on whether the shop needs to make money is if silver hits $8/0z, will the same shop tack on a $7.50 premium per spot? |
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byro007
Penny Collector Member
USA
399 Posts |
Posted - 10/02/2008 : 13:01:57
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| I sure wouldnt be suprized if the do tack on a high premium like that. Same thing goes for my shop. He was asking 15.00 per round when silver was at 13 and still asking 15 when silver is at 11 |
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horgad
1000+ Penny Miser Member
USA
1641 Posts |
Posted - 10/02/2008 : 14:15:13
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What is going to happen is that more and more enterprising business men are going to start taking more and more silver out of the COMEX warehouse that they bought at spot. Then they are going to convert that silver into small bars and sell them for a nice premium.
At some point when the COMEX stocks are drained and everybody is taking delivery, we get to find out whether or not the paper market is real. In other words, we find out if there is enough silver to back all of the pieces of "silver" paper that are floating around out there.
Joe Silver hoarder and friends and the high premiums are saying loudly that the COMEX market is bull, but are they right? Time will tell. If they are right, this is setting up to end with a bang. A bang where the paper market just seizes up one day and silver spot quotes from Kitco just stop like a broken watch.
Everyday I watch with amazement not just because we have this discount in prices, but rather that it has lasted as long as it has and that even massive declines in silver spot are not shaking any silver out the tree. If the world was right side up, people should be panic selling right now and silver bars if anything should be selling for under spot as people rush to get out. It is a strange, strange market right now doing things that should not be possible. |
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JerrySpringer
Penny Hoarding Member
669 Posts |
Posted - 10/02/2008 : 19:06:04
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Well, got some relief from silver pricing today. Wife and I went together to a few banks on our mutual day off. First bank had few CWRs, but ended up with $5 in pennies. We are on our way to her favorite coinshop to see what ASEs and junk silver she wanted to buy. The second bank was a nice score. I got $30 in CWR pennies and asked them if they had any half dollars. They had one $10 roll. Something is better than nothing I figured and you just never know. Well, I do not know who brought the roll to the bank, but there were eight '64 Kennedys and a '66, '67, and '68 in this roll. Nice, a grand total of 11 out of 20 coins with silver at face value. My wife is believing much more in doing coin runs and I am thinking the way to go is just search out copper rolls and half-dollars now. Just not much worth the effort searching for nickels even though I find some cherry pre-1960 ones on occasion as well as war nickels. At least the half dollars are super easy to sort and a $10 roll takes up minimal space and weight. What do you folks think about ordering the $500 boxes from my bank to search for silver? Is it worth the trouble, or have the fed rolls been picked over before they were shipped?
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Ardent Listener
Administrator
USA
4841 Posts |
Posted - 10/02/2008 : 19:22:56
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quote:
Originally posted by horgad
What is going to happen is that more and more enterprising business men are going to start taking more and more silver out of the COMEX warehouse that they bought at spot. Then they are going to convert that silver into small bars and sell them for a nice premium.
At some point when the COMEX stocks are drained and everybody is taking delivery, we get to find out whether or not the paper market is real. In other words, we find out if there is enough silver to back all of the pieces of "silver" paper that are floating around out there.
Joe Silver hoarder and friends and the high premiums are saying loudly that the COMEX market is bull, but are they right? Time will tell. If they are right, this is setting up to end with a bang. A bang where the paper market just seizes up one day and silver spot quotes from Kitco just stop like a broken watch.
Everyday I watch with amazement not just because we have this discount in prices, but rather that it has lasted as long as it has and that even massive declines in silver spot are not shaking any silver out the tree. If the world was right side up, people should be panic selling right now and silver bars if anything should be selling for under spot as people rush to get out. It is a strange, strange market right now doing things that should not be possible.
Very well said. I can see us crazy silver bugs holding on to our silver no matter how low it goes, but like you, I too watch in in amazement that new physical silver has not enterend the market to cash in on the huge price gap between spot and what the street is asking for silver. Either the refiners are way behind in putting out bars or someone in power is not allowing new bars out and may never allow it again. A third option that we may not want to think about is that we are being played for suckers. If we are willing to pay 30-40% over spot then why shouldn't they keep small bar physical silver hard to get? |
Realcent.forumco.com disclosure. Please read.
All posts either by the members, moderators, and the administration of http://realcent.forumco.com are for your edification and amusement only. It is not the intent of realcent.forumco.com or its host to provide investment, medical, matrimonial, legal, security or tax advice and nothing posted here should be considered to be so. All rights reserved.
Think positive. |
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fb101
Administrator
USA
2856 Posts |
Posted - 10/02/2008 : 19:25:59
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quote:
Is it worth the trouble, or have the fed rolls been picked over before they were shipped?
Check out this thread:
You must be logged in to see this link.
I've pulled close to 100 oz silver from $500 boxes in the last year
doing 2-4 boxes a week.
second best box: 61 40% and 1 1964 halves 03.13.08
I've never posted my best box because nobody would believe me.
BUT: I suggest you read several pages worth of the thread to get a feel. I know I post 2 or 3 times a week my finds. (near the last pages)
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JerrySpringer
Penny Hoarding Member
669 Posts |
Posted - 10/02/2008 : 19:44:25
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quote:
Check out this thread:
You must be logged in to see this link.
I've pulled close to 100 oz silver from $500 boxes in the last year
doing 2-4 boxes a week.
Thanks for the reply fb101. I added to that thread that I am going to take the plunge and start half dollar box orders from my local banks.
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Cody8404
Penny Hoarding Member
USA
602 Posts |
Posted - 10/05/2008 : 13:02:16
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Be carefull. I have went through several boxes of halfs and have only found one 40%.
I am willing to pay the premium even and buy silver ounces for $15, even with spot lower because this is less than the $20+ it was at recently. I know the price now is a lot lower than what it will be soon. |
Awake, O kings of the earth! Come ye, O, come ye, with your gold and your silver, to the help of my people, to the house of the daughters of Zion, to the help of the people of the God of this Land even Jesus Christ. |
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psi
Penny Collector Member
Canada
399 Posts |
Posted - 10/05/2008 : 14:21:04
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My favourite shop seems to base their pre-1968 cdn silver prices pretty close to spot, not sure how they manage to make money this way (estate sales maybe). They just have bins you can sort through for what you want, and the .925 is the same price as the 80% (got a bent 1903 Edward VII 5 cent last time for regular price, plus a 43 newfie dime). Unfortunately it is in a different town and I don't make it out there too much. A return bus there is a fair chunk compared to the size of purchases I'm making.
I checked out a coin shop in brampton the other day that I'd never been to before and they had a huge selection but nothing anywhere near spot. Even generic silver bars (1-100 oz I believe) were priced at C$22/oz (!), which I guess is just to make the numismatic coins look like a better buy and take advantage of the odd sucker. |
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Ardent Listener
Administrator
USA
4841 Posts |
Posted - 10/05/2008 : 17:19:26
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quote:
Originally posted by JerrySpringer
On Tuesday, the wife bought a ASE for $3.50 over spot. Today, same store wants $4.50 over premium. Seems likes they are trying to keep the price fixed at $15.50 per coin no matter how low silver goes. The wife says the shops need to make money.
Yes they need to make money.......we all do, but is it the only coin shop/bullion dealer in town? Erie PA isn't a huge city, but there is lots of competition among coin/bullion dealers. Lack of competition tends to be a big factor as to why some shops mark-up more than others. |
Realcent.forumco.com disclosure. Please read.
All posts either by the members, moderators, and the administration of http://realcent.forumco.com are for your edification and amusement only. It is not the intent of realcent.forumco.com or its host to provide investment, medical, matrimonial, legal, security or tax advice and nothing posted here should be considered to be so. All rights reserved.
Think positive. |
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horgad
1000+ Penny Miser Member
USA
1641 Posts |
Posted - 10/07/2008 : 08:58:47
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Some Swiss guy saying that the paper gold market may default and if it does gold will double in price very, very quickly. I assume the same holds true for silver....
You must be logged in to see this link.
I agree with him 100%, but what I don't have a feel for is the strains being put on the paper market. He seems to think that the strains are there and that are building. In other words that the difference between paper and physical prices represent the current perceived risk in the paper. The bigger the spread, the bigger the strain, and the bigger the current risk. |
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jadedragon
Administrator
Canada
3788 Posts |
Posted - 10/08/2008 : 14:56:24
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You must be logged in to see this link. Here is a sample:
"In effect, almost as soon as any funds are released for the "bailout," the U.S. dollar may be doomed, other currencies could also be crushed and gold and silver prices could explode upward.
Gold and silver coins and ingots are almost non-existent anywhere in North America, Europe, the Far East and Australia. Premiums on what merchandise can be had are far higher than commodity market prices.
Banks in Europe, if they can find any, are willing to pay 10 percent to 15 percent over gold spot to buy Krugerrands or sovereigns. In the United States on Monday, some dealers were bidding well over 30 percent over intrinsic value to purchase immediate delivery silver coins or ingots. There are many reports of retail buyers paying more than double silver value to acquire U.S. silver American Eagles in recent days.
Partly in response to the lack of availability of gold bullion-priced coins and ingots, several buyers are purchasing common-date U.S. $20 and $10 gold coins in all grades. Prices are up sharply in the past few weeks, as much as 25 percent to 30 percent in some instances, with supplies dwindling rapidly.
As difficult as it is to find and purchase physical gold and silver now, I expect it to get much worse in the next few days and weeks."
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“The reasonable man adapts himself to the world; the unreasonable one persists in trying to adapt the world to himself. Therefore all progress depends on the unreasonable man.” – George Bernard Shaw.
Why Copper Bullion ~~~ Interview with Silver Bullion Producer Market Harmony
Passive Income blog |
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Lemon Thrower
1000+ Penny Miser Member
USA
1588 Posts |
Posted - 10/08/2008 : 15:39:05
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| best i can find these days is $5 over spot for ASE's and $4 for Maples when buying 500 at a time. |
Buying:
Peace/Morgan G+ at $15.00
copper cents at 1.3X
wheat pennies at 3X
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Coin store keeps increasing premium
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