Why COIN DEALERS don't seem to be buying at higher prices if they don't have any SILVER to sell?
Submitted by GREEDisBAD on Fri, 09/12/2008 - 22:36
I'm not buying because I don't have money, but I am getting excited about gold and silver and I would seriously consider buying little by little at these prices, but it bugs me that coin dealers don't seem to be buying at higher prices. Instead, they seem to be just widening the difference between the buy price and the sell price. This still makes me cautious.
Is it because they don't believe that they could sell at higher prices than their buy prices if they raise thier buy prices?
Are they expecting the street prices to come down soon enough?
It seems to me that if they could charge higher prices to sell, but don't have silver to sell, they should raise thier buy prices.
Excuse my English, is my 5th
Excuse my English, is my 5th language so stop breaking my balls...especially since most of you would not be able to pass a grammar test in your own fuckin' language.
Why are you interested in buying metals ? Speculating on the short time fluctuations ? Go to the Casino and play some Blackjack, the odds are better there.
Gold is for people with money which invest few hundreds of thousands or millions in gold to be sure they won't lose the paper money over night if a huge economic crisis or war happening overnight. Are you one of them ? If not, most likely you don't need to buy gold.
Silver is for losers, look at the people who buy silver, they have bad teeth and are wearing wal-mart jeans...they are a bunch of lunatics dreaming about the silver going up $1000/ounce overnight, they firmly believe that very soon their pathetic $7 coin will be worth $700...do you want to become one of those clowns ?
The father of my best friend died 5 years ago, he invested in real estate but also in silver...he bought silver for more then 20 years and died before he made any profits...but he did well on real estate.
What mesmerize me about people owning silver is the fact that they are so stupid they didn't sell when the silver was record high, instead cashing in and make a good profit, and buy more silver when the price retreat it...those clowns instead jumped and got more silver...convinced that the silver will finaly jump to $1000/ounce...
Well, stupidity and greed is a bad combination
Excuse my English.
It is my 5th language. Interesting to note, however, that I'm a dick in all the other languages too. Also, I only post when they take the restraints off, so you won't be hearing from me again until visiting hours tomorrow.
Well, bye for now, stupid f*ck'n losers,
maersksea
http://jsmineset.com/cwsi...
http://jsmineset.com/cwsimages/Miscfiles/6583_DrMartinMurenb...
read it and weep dumbass!
"When governments fear the people there is liberty. When the people fear the government there is tyranny."
-Thomas Jefferson
I am more concerned about the return of my money than the return on my money. --Mark Twain
You my friend
have to be the "ALL TIME" most offensive poster on the DP. I have read your posts before.......and it is horrible.
Hmmm....I have great teeth, and I don't shop at Wal-mart......and if I did go into Wal-mart, I will guarantee you that 99% of the people shopping their have no clue or even a minuscule understanding of the Precious Metals Markets.
Just like you.....
Hows that Real Estate doing now........Down 10, 20 , 30, 40, 50% or more.....good job. Get ready for another 20 to 30% drop in Real Estate prices...
And real estate has that extra benefit ,property tax.
HYDROMAN
"You`re the Indians of the 21st Century, and that`s very sad."
Russel Means
I actually don't find what he writes so offensive.
"Only a virtuous people are capable of freedom. As nations become corrupt and vicious, they have more need of masters." Benjamin Franklin
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I agree with him in a sense that investing is very difficult and it is not for everyone. I think it is far more important to save for rainy days.
I found those who said buy buy buy buy silver at much higher prices to be more offensive and irresponsible. I think that the current silver price has proved that listening to these people was very dangeorus financially.
To be honest, I'm also pissed at the dumb sh!ts who told me to buy buy buy silver at much higher prices. I am very glad that I didn't listen to them, but they sure gave me a hard time on DP when I said I wasn't buying. Some of them definitely had attitudes like you are not a Ron Paul supporter unless you buy gold and silver. I thought I was talking to a NAZI or NeoCon.
"Only a virtuous people are capable of freedom. As nations become corrupt and vicious, they have more need of masters." Benjamin Franklin
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That's because you and maersksea are the same person.
The difference between those who bought when silver was $20 and you?
They have metal and you don't. They have protected their purchasing power and you haven't. They are not on a waiting list and you will be.
Go ahead and call me a name. Your mind is small and it's the best you can do, I understand.
___________
Lisa C.
**This space is available.**
GOLD as a (financial) luxury item.
"Only a virtuous people are capable of freedom. As nations become corrupt and vicious, they have more need of masters." Benjamin Franklin
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I have a conservative estimate of how long it might take for me to find a similar paying job in a bad economy if I lose my current job. And I strongly believe that saving enough U.S. dollars to last that time is my first priority in my personal finance. No, I don't think that a gold coin that I want to buy will save me financially.
But, I am not perfect. I do have some wasteful spendings. So, my plan is to buy a gold coin instead of spending on stupid things with very low re-sell values. I'm planning on buying a gold coin and making a pendent. Of course, I'm not planning on selling the pendent and getting a good re-sell value, but I think I would feel pretty good about the pendent if the price of gold goes up.
I'm now very excited about gold and silver because the current price levels are closer to local bottoms than when gold was above $1000 per ounce and silver was above $20 per ounce. However, I'm not very interested in Silver. I think a gold coin will make a better pendent.
I don't have a crystal ball to tell when the price of gold will bottom, so if I had money, I would have bought one coin today, but I have to wait for a couple more pay checks. It doesn't mean that I don't have any savings. I am just giving a higher priority to my saving schedule than buying a gold coin. If I didn't have a huge credit card bill from buying a generator and other survival goods, I would have bought a gold coin today.
"Only a virtuous people are capable of freedom. As nations become corrupt and vicious, they have more need of masters." Benjamin Franklin
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Depends on the individual
Depends on the individual coins. But I'm not a bullion dealer so common "stuff" doesn't interest me. I think it's good to have a little bullion as a diversification but that's it.
Tudo
http://www.usrarecoininvestments.com
coin dealers like to bargain
coin dealers like to bargain .. they need to pay bills and rent and etc ... and they need to resell what you sell them ... you have to know how to bargain to get a higher price
Makes no sense.
"Only a virtuous people are capable of freedom. As nations become corrupt and vicious, they have more need of masters." Benjamin Franklin
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If they actually don't have silver to sell, what is there to bargain?
Shouldn't they first get some silver from people by buying at higher prices and then sell to other people at even higher prices?
It makes me wonder if they are either not desperately needing silver or cannot re-sell at higher prices.
It makes me wonder if the alleged silver shortage is either not serious or fake.
"Only a virtuous people are capable of freedom. As nations become corrupt and vicious, they have more need of masters." Benjamin Franklin
---
"Shouldn't they first get
"Shouldn't they first get some silver from people by buying at higher prices and then sell to other people at even higher prices?"
Actually, no. At least the way I understand it.
All these dealers are not really silver/gold "investors." They are middlemen.
The buy at a discount and sell at a premium. They make money on both sides of the transaction.
Take, for example, silver at $10. Dealers will buy probably at a price of $7 to $9 and will sell at a price of $11 to $13 or so. Let's say they buy/sell at 7 & 13. Then for every single ounce they turn over they profit $6. $3 on each side of the transaction.
Holding on to gold/silver is probably not part of the business plan. It's probably best for these people to sell as soon as they can after buying, or they will be subject to the inherent risk of prices going down. Obviously, going up would be good for them - but again, investing is not their business. Their business is being middlemen in the transactions.
??? I wonder if you misunderstood my point.
"Only a virtuous people are capable of freedom. As nations become corrupt and vicious, they have more need of masters." Benjamin Franklin
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My point was that they ARE "middlemen" and they most likely need to sell something to cover thier expenses like rent. So, if they truely don't have enough silver to sell, they are screwed, aren't they? In that case, shouldn't they get silver even at higher prices as long as they can re-sell at even higher prices?
But, it doesn't look like they are raising their buy prices, so to me, there is something wrong. So, it looks to me that either they are not so eager to get more silver by paying extra or if they do that, they cannot re-sell at even higher prices to profit.
"Only a virtuous people are capable of freedom. As nations become corrupt and vicious, they have more need of masters." Benjamin Franklin
---
I see what you're getting at
I see what you're getting at now. But even then, the middlemen still need to be careful that they don't turn into "investors" by accident. My guess would be that holding on to silver for any period of time is a risk for their business.
Buy it and turn it over quickly should be their focus.
But, yes, if the shortages are so bad that some dealers have zero supply - they should maybe decrease their commission on the buy side a bit. Maybe even have no commission on buys or buy at slightly more than spot, then they could still make money on the sell side of the transaction.
Doing that does increase risk a bit for them, if silver goes down, but as you said it would enable them to have silver to sell.
well there are a bunch of
well there are a bunch of scenarios ..
1 the dealers might not be able to afford it
2 maybe they are waitinf for scared people to scurry in and sell it for anything
3. they still think it has some room to go down ... etc ...
Maybe the coin shop owners
Maybe the coin shop owners expect a deflationary drop and plan to buy from paniced people at bargain basement prices.
I always thought that too many people have bought gold and
"Only a virtuous people are capable of freedom. As nations become corrupt and vicious, they have more need of masters." Benjamin Franklin
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silver for a wrong reason, in recent years. So many people thought it's going to be hyper-inflation. I strongly disagree. In my opinion, ultimately, gold is likely to do well in deflation (maybe I don't know, so show me one deflation in history that gold didn't do well). However, you will also need a lot of U.S. dollars to be able to hold on long enough, in my opinion.
"Only a virtuous people are capable of freedom. As nations become corrupt and vicious, they have more need of masters." Benjamin Franklin
---
I think I read that gold
I think I read that gold dropped some in the depression of the 30's.
FDR CONFISCATED THE GOLD!
FDR CONFISCATED THE GOLD! and set gold at a set rate of 35.00 per ounce!
"When governments fear the people there is liberty. When the people fear the government there is tyranny."
-Thomas Jefferson
I am more concerned about the return of my money than the return on my money. --Mark Twain
Read my post below OR
"Only a virtuous people are capable of freedom. As nations become corrupt and vicious, they have more need of masters." Benjamin Franklin
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read this. Find the data.
http://www.depression2.tv/d2/node/181#comment-850
"Only a virtuous people are capable of freedom. As nations become corrupt and vicious, they have more need of masters." Benjamin Franklin
---
Based on what I found, gold was going up in
"Only a virtuous people are capable of freedom. As nations become corrupt and vicious, they have more need of masters." Benjamin Franklin
---
London in the 30's, but having said that, it could go down a lot in deflation. I mean we just saw that, didn't we?
"Only a virtuous people are capable of freedom. As nations become corrupt and vicious, they have more need of masters." Benjamin Franklin
---
no... FDR made everyone turn
no... FDR made everyone turn in there gold.. I think the prick gave people 20.00 an ounce for their gold then after people turned it in he set the price at 35.00! If I', not mistaken i know this is what happened but I may be off on the 20.00 price// my grandpa lived through that and told me about it! where people made there money on gold was the gold stocks.. homestake mining was going for 600.00 a share during the depression.. but now since you can own gold I would rather buy physical.. the reason is if we get to another depression and with bearstearns, merrill and lehman and many others about to tank I don't know how you could sell the stock to get cash! just another thing to think about!
"When governments fear the people there is liberty. When the people fear the government there is tyranny."
-Thomas Jefferson
I am more concerned about the return of my money than the return on my money. --Mark Twain
Here, you are talking about this article as far as
"Only a virtuous people are capable of freedom. As nations become corrupt and vicious, they have more need of masters." Benjamin Franklin
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HM. This is one of the most famous articles, is it not?
http://www.gold-eagle.com/editorials_98/vronsky060698.html
Most people stop at here and don't do further research, but look in to the London price of gold in British Pound, the exchange rate, the prime rate, and the laws during the 30's and it gets much more interesting. Without understanding these, I don't think you will ever fully understand my opinion on gold and deflation.
"Only a virtuous people are capable of freedom. As nations become corrupt and vicious, they have more need of masters." Benjamin Franklin
---
I'm reading that article
I'm reading that article now. Just read where it mentioned about the deflation from 1929 - 1935. I still have more to go, but did want to mention that back then, as far as I know, the US was the world's largest creditor nation. Deflation benefits the creditors.
These days we're the world's largest debtor nation. From that perspective, inflation would be most beneficial (regarding government debt; as well as individual's debt) since it would decrease the overall value of the debt, making it easier to pay off.
It could play out as inflation causing our assets (including gold and silver) to skyrocket in their associated dollar value. But, at the same time, our debts remain constant. Then we sell some stuff and pay of all the debt. Well, individuals can probably do this but not so sure if there could ever be enough inflation for the gov to pay off all debt -- and if it does happen, we are all in trouble anyhow because it will be a mess.
Here, please read this.
"Only a virtuous people are capable of freedom. As nations become corrupt and vicious, they have more need of masters." Benjamin Franklin
---
http://www.depression2.tv/d2/node/181
"Only a virtuous people are capable of freedom. As nations become corrupt and vicious, they have more need of masters." Benjamin Franklin
---
It's much deeper than that. Do some real research in stead of
"Only a virtuous people are capable of freedom. As nations become corrupt and vicious, they have more need of masters." Benjamin Franklin
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just reading someone else's work. Here are some hints.
http://www.depression2.tv/d2/node/181#comment-850
"Only a virtuous people are capable of freedom. As nations become corrupt and vicious, they have more need of masters." Benjamin Franklin
---
Gold price looks flat on the
Gold price looks flat on the chart I found for the beginning of the great depression. But of course you would have been able to get more goods and services per ounce after the panic.
The gold price during the Great Depression is a very
"Only a virtuous people are capable of freedom. As nations become corrupt and vicious, they have more need of masters." Benjamin Franklin
---
interesting topic. If you can, find the London gold price data in British Pound and also find the exchange rate between British Pound and the U.S. dollar by month, not by year. When I did this research years ago, the London gold price data in the U.S. dollar was more commonly available, but this data is very misleading. You should find the data in British Pound.
The gold price was fixed in the U.S. in the 30's, but I was able to gather enough evidences that indicated that the U.S. was forced raise the official price of gold eventually to $35 per oz because the price of gold in London kept going up. But, of course, this is not the official story. And, you won't see this unless you find the London price data in British Pound.
"Only a virtuous people are capable of freedom. As nations become corrupt and vicious, they have more need of masters." Benjamin Franklin
---