forum.bulliondirect.com

A place for bullion traders to gather
It is currently Mon Oct 20, 2014 5:16 am

All times are UTC - 6 hours




Post new topic Reply to topic  [ 5 posts ] 
Author Message
PostPosted: Wed Sep 23, 2009 8:20 am 
Offline
Participant

Joined: Thu Aug 27, 2009 9:21 am
Posts: 28
Location: Texas
APMEX, Tulving, etc selling at 10c under (for 90% silver) or 30c (for 40% silver) under spot?

Are they just clearing out inventory or is this a sign that we might have found a (short term) top in the silver market?

Or is it because it isnt .999 silver?


Top
 Profile  
 
PostPosted: Wed Sep 23, 2009 9:32 am 
Offline
Valued Member

Joined: Sat Mar 04, 2006 8:00 pm
Posts: 846
Location: Colorful Colorado
I just looked on A9M3X and even their $1000 bag of 90% silver was a bit more than spot (12,062.05 vs 715x16.70=11,940.50), but still a good price. I really like junk silver, and think it's a good thing to own in the event that TSHTF, but you'd also have trouble selling it at spot.

Typically refineries will give you 90% of spot, and in my experience most coin dealers won't even give you that.

I personally stay away from 40% coins, as many refineries won't take them. That's just MHO.


Top
 Profile  
 
PostPosted: Wed Sep 23, 2009 9:45 am 
Offline
Active

Joined: Fri Jun 05, 2009 6:18 pm
Posts: 376
Location: Republic of Texas
The refining cost is the normal reason for the discount. When there is plenty of .999 silver avalable the premium for junk coin drops to nothing or even negitive slightly.

I have seen canadian junk silver coin 80% at significantly below spot at times.

On the other hand when the market it tight (not the same as high $) the premium can go up sharply. In general I have found the premium on junk silver to be one of the lowest of the different inventment types. The premiums on most types of silver are rather low right now from a percentage point of view even though the price is up, so it is not suprising that the premium for junk is low.

As for a top in the market, who knows, I sure don't.


Top
 Profile  
 
PostPosted: Wed Sep 23, 2009 6:01 pm 
Offline
Active

Joined: Sat May 16, 2009 3:40 pm
Posts: 370
Location: West
NORMAL PRICES ARE UNDER SPOT.
Way under for 40% on the resell.
in times of panic and scarcity they go back up to "melt" value like we have seen over the last 2 years , thats often the time to sell some and buy .999.
If the premium is low ,negative or right, dont be afraid to buy 90 or even 40%
just dont expect to get premium in declining market, wait til a rising market and the spreads narrow as the options for buyers do.

the man with a bag of 40% has more real "money" than the guy with their price in fiat.
there is a time and a place for everything, many of us have made money off of 40% .
some das thats all buyer can find at spot.
right now the market is skeptical of prices and some believe the recession or whatever you call it is over.
sentiment goes in waves, so do prices and premiums.


Top
 Profile  
 
PostPosted: Sat Sep 26, 2009 7:42 am 
Offline
Valued Member

Joined: Fri Dec 24, 2004 12:07 am
Posts: 960
kd5ddo wrote:
APMEX, Tulving, etc selling at 10c under (for 90% silver) or 30c (for 40% silver) under spot?

Are they just clearing out inventory or is this a sign that we might have found a (short term) top in the silver market?

Or is it because it isnt .999 silver?


Usually those low premiums mean the "retail" demand is down. I am always looking for that low premium
at Tulving or Nucleo as a time to sell, and not a time to buy.
It is a pretty reliable indicator of silver direction, at least short term.


Top
 Profile  
 
Display posts from previous:  Sort by  
Post new topic Reply to topic  [ 5 posts ] 

All times are UTC - 6 hours


Who is online

Users browsing this forum: Google [Bot] and 5 guests


You cannot post new topics in this forum
You cannot reply to topics in this forum
You cannot edit your posts in this forum
You cannot delete your posts in this forum

Search for:
Jump to:  
cron
Powered by phpBB® Forum Software © phpBB Group