Forced liquidation in silver

Discussion in 'Commodity Futures' started by western, Oct 10, 2008.

  1. [Quote from thriftybob:

    Forced liquidation of paper silver, but no coins to buy at less than $3 or $4 over spot anywhere on the planet.

    If only we could actually buy coins for anywhere near these prices...




    ---------------------------------
    I find that hard to believe .

    You have proof or is this just more talk from the nuts
     
    #11     Oct 13, 2008
  2. MKTrader

    MKTrader

    I know a gold/silver dealer (a reputable one) and he said he's never seen anything like the recent divergence in spot/physical prices.

    I've heard that even on Ebay, physical silver is way above spot prices, but haven't checked it out personally.

     
    #12     Oct 13, 2008
  3. I just checked (thats what I do, I dont believe assholes on the internet or anywhere else)

    I see a quote of 11 an ounce for 1000 oz silver and I could probably do a lot better.

    So this bullshit of 2-4$ above spot would only be for morons.

    Since when is Ebay the source for fair value?


    PS , Silver and gold buyers are nicely in the hole over the last months.
     
    #13     Oct 13, 2008
  4. MKTrader

    MKTrader

    You need to look at junk silver coins and many other things...and have good idea of the historical norms when compared with spot silver.

    Yes, the arbitrage is as strong after last Friday's collapse, but over the last few months, it's as obvious as your ignorance.


    Wanna write me

     
    #14     Oct 13, 2008
  5. tulving, one of the biggest and competitive dealers in the country (and not a moron) is willing to BUY boxes of eagles at $4 over spot, JM or englehard 100 ounce bars at $1.75 over spot and pre 1964 junk coins at $2.00 over spot. how's that for a divergence in pricing?
     
    #16     Oct 13, 2008
  6. Tell that clown he is stupid for me, paying up for a declining asset.
     
    #17     Oct 13, 2008
  7. He is just following the greater fool theory. The masses will be coming in off the street buying them for even more.
     
    #18     Oct 13, 2008
  8. bro59

    bro59

    Ebay can be a fantastic window into obscure and small markets. It's an auction market in a world that still largely believes in fixed pricing.

    Dealers who have been in this business for 30 years are another source of information. "They" haven't seen the likes of this since 1981 (no, not 1984). People simply aren't selling their silver yet at prices near spot due to the tendency of people to hold on to assets which have dropped in price combined with the inherent paranoia with which many small silver speculators view the world and in particular the government.

    Strange market to be sure. Then again periods of excess inflation always distort markets in strange ways. The American Congress and President have certainly distorted our markets in ways that make truth the real precious commodity.
     
    #19     Oct 13, 2008
  9. try any of the major sellers

    apmex
    kitco
    coloradogold
    tulving
    ebay

    you won't find any coins for less than $13 or $14/oz, I bet
     
    #20     Oct 13, 2008