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Buying silver
- Thread starter Floridian
- Start date
St. Phatty
Active member
Silver in 2013, 2015, and 2016.
If you download some 10K's or 10Q's from Yahoo finance or somewhere, about the mining companies, they will talk about how much it costs to mine an ounce. Of course it will be different for different mines, and for different locations within a mine.
But it is a steady run of numbers ... $22, $21, $20, $19, etc. down to $9, $10, $11 at some facilities.
Side-stepping the $21 & $22 silver - it's possible that it's unwise to mine silver at that cost and so it's not a good thing to compare against - any time silver can be bought for $20, cost per ounce financed and delivered, you are getting the Silver below the cost of production.
It almost seems like the mine is being scammed, but they signed the contract.
Gold in 2013. Note the IRS weekend price decline from the $1500's to the $1300's, and then down to $1200 the end of June 2013.
One of the more astute gold market watchers noticed a draw-down in Bank of England reserves from 6500 to 5200 tons, by comparing their March 31, 2013, and June 30, 2013 Vault reports. That's a 1300 ton decrease.
Did they just UPS that to China or something ?
Most of the selling in the double-waterfall that took gold from the $1600's to the $1200's was "paper", deals settled in cash not physical.
The selling volume from April 2013 to June 2013 was in multiples of annual mining output for gold (about 2300 tons).
https://www.kitco.com/charts/historicalsilver.html
If you want to look at some historical Silver or Gold or Pt or Pd charts.
PS YeeHaw ! and while I was writing that, Silver went a little bit more on Sale.
It is not impossible to catch a $1 down-spike like that. Silver was REALLY on sale for about a minute there.
Attachments
Wow St. Phatty did you notice after so many years we both have the exact same number of posts and equal K in this thread?Also you joined 2 yrs. and 2 months after I did.2.2..sound familiar lolol?I'm taking this as an omen of the most serious kind..what else could it possibly be?
St. Phatty
Active member
2 guys in a bar shooting the breeze. Except it's not a bar. But ICMag is kind of like a bar.
Speaking of buying PM's, to use Silver as an example -
How much Silver would you buy when spot is $15.80 ?
How would you pay for it ?
What is the alternative purchase if the product you want is out of stock ?
These same questions are worth considering ahead of time, for each of the price points ... $15.60, $15.40, $15.20, $15 spot.
The Silver market moves very strangely, and often very quickly. An incredible deal can be on the market for 15 minutes, then go out of stock. Knowing if it's a good deal, and how much cash to commit ... if you're going to be investing your savings, it's important to have thought through the options ahead of time.
It doesn't have to be complicated, "I'm going to buy 10 ounces at Friday closing price", for example.
If the ever changing prices are a source of stress, I suggest waiting until Friday at 5:15 when price setting markets close but secondary markets (e.g. coin shops) remain open. Then the price is steady for almost 2 days.
The kind of movements in the July 6 chart indicate a big sale that was initiated when markets were most asleep - 5:30 PM New York time - New York closed, China hasn't opened yet, neither has Australia.
If I had a 500 tons of Silver to sell, I wouldn't do it when all the markets are asleep. Exactly how many tons it was, will come out in the next few weeks via webcasts at KingWorldNews.com, also probably some info at ZeroHedge if you don't mind 8 million video ads shoved in your face ...
The way the market is acting, it looks very determined to make it down to $14.99 by close of business Friday.
I find the markets behave emotionally, even if they don't actually have emotion. This market today is like a woman shopping for a hat. She will find the hat she likes when Silver makes it down to the high $14's.
This is the kind of price movement I would expect if a huge manufacturer announced they were going to stop using Silver in one of their products, e.g. the iPhone. But I don't think there is any news that indicates reduced industrial use.
Meanwhile, Copper, which tracks with silver, putted along at $2.63.
I like this entertaining price action. It is like somebody has aimed a Barrett 50 cal at the price of Silver (represented by the Ford Escort in the video) and pulled the trigger.
https://www.youtube.com/watch?v=yTLq89-ys8o
Of course it's a little hard to take if you were planning to use Silver to pay for this month's rent. That is an example of why Gold is better for some parts of one savings - you're less screwed when these price dips occur.
https://www.providentmetals.com/1-oz-silver-buffalo-round.html
One ounce Silvertowne Buffalo rounds, 86 cents above spot (their website says 79 cents but their spot is about 7 cents above market spot).
USPS Priority Mail Delivery with Signature, $2.90.
That's the best cost per ounce delivered that I'm aware of for 1 ounce rounds.
I like the Buffalo rounds.
Haven't you been to the "What are you drinking " thread?Feels like a hole in the wall sometimes lol.I'm glad I didn't make a purchase a few weeks ago like I was going to,at that time to me it was just going to be an investment of 5-15 or even 20 years,thinking about my niece because this was given to me and I have no chillens.Nobody would have me lol!I sort of like the way this has gone though,and your graphs have made it even more interesting.I've got salesman from Rosiland promising me free silver at this price over spot and the guys at JM bullion that wont be undersold they swear on their grandma's its pretty entertaining really.I can't help but love the way the spot is dipping though and just hope I do things at the right time,but who knows when that will be?I sure don't.Someone mentioned earlier in this thread that the price between 12 dollar and 14 dollar an oz price really doesn't matter much,that can't be true because if it is I'm just wasting time for nothing.2 bucks an ounce isn't petty I don't think when you consider the total price on what you buy.One thing I have learned from talking to these hardheads is that when they really want to make a sale they will sell 10 oz bars at 100oz prices and that's a really good deal.I'm not talking about name brand bullion but generic bars which is what I think I want.10 oz is small enough to be able to bargain with I think in times of need as opposed to 100 oz bars but I'm convinced they can be bought at 10 oz or near 10 oz prices when you catch someone on the right day in the right situation
St. Phatty
Active member
I think the most beautiful 100 ounce bar is the 100 ounce Johnson Matthey Cast.
They sometimes pick up a purple tint that is really pretty. I'm not sure what the formula is. It seems to be normal, people buy one and it sits on their desk. If the humidity is right, it gets the purple tint.
I have heard precious metal guys talk about putting their 100 ounce cast bars in a bag with the yolk from a boiled egg (for the sulfur) ... to get the Purple tinted Silver. That's Dedication
Aesthetically those and Englehard are the bomb but at the end of the night if it's .999 silver and they all are,thats what really matters.I've noticed you are right though,some vendors cost more than others for the supposedly exact same silver content bars that are pictured in a better light
that's one slick kindergartner.......
I've lost money on the 10oz engelhard bars I got, , I had invested more in Bitcoin, or Stocks like LUV. I would have done better..
I bought mine locally, there is an assay office and they sell all kinds of valuable metals. a little over 3% spot price.
In my opinion, I spread my money around to hopefully hit one of the winners. Metals and Stockmarkets seem to move in opposite directions. Sure I lost money on the 10oz bars but I made more money from stock market performance since 2009, Metal generally lost while the stockmarket won. Lucky for me the gains outweighed the losses.
I will say the good thing about silver is its stable, silver is not going to be worthless anytime soon. Unlike some of the manipulated cannabis stocks I bought, clearly theres some pumping and dumping with those stocks.
brown_thumb
Active member
The few ounces I bought arrived yesterday... a whopping US$445. LOL!!
Okay, it's better than nothing should I need the junk coins for trade.
Okay, it's better than nothing should I need the junk coins for trade.
HereIgrowagain
Active member
Curious about the buffalo rounds. It states that the date has been removed from future coins, and you may receive a coin either with or without. Which one if any are collectors going crazy for?
slaveplanet
Member
never catch a falling knife
slaveplanet
Member
in 20 years nobody will want to buy silver anymore and your niece will have problems you can not imagine today
good luck
brown_thumb
Active member
I bought the cheapest 90 percent silver coins I could find. I bought a little more today and some coin tubes.
THESE
SIDE NOTE: Hide valuables well and trust NO ONE!! When I was a little kid my parents had a small chest packed full of silver coins. There were several hundred pounds of 90 percent silver coins of many types... many uncirculated. One summer my older brother asked to stay at home during school summer vacation so he could get a summer job. When we returned home, my brother had a new very expensive stereo system and the coins were gone along with a few other things. My brother had no proof of having a summer job... but our parents never asked... I think they already knew.
brown_thumb
Active member
BTW, I don't intend on investing much in precious metals nor will I stash much cash. If SHTF then things like water, food, shelter, ammo, and other basic needs are far more valuable. After all, one can't drink, eat, breathe, shelter inside or shoot a silver or gold coin. Precious metals may have a heyday if SHTF but it won't last long. When it comes to surviving the next few days... silver and gold may have some value... but a can of beans or gallon of water might just save someone's life.
Wow bt I have such a similar story about my big brother it's uncanny,suffice it to say after collecting for about 13 years and compiling quite a stash for a kid{thanks to relatives and friends of relatives of course}I discovered one day that it was all gone,every single coin.It blew my mind and unfortunately it turned me off to numismatic collecting.I won't ever foget it I used to love coin collecting with such a passion being just a kid..My attitude became totally different from how it was and that's too bad,my fault though I felt like I could never accumulate what I had in the time I had left!!Pretty funny looking back like I had missed the boat or something,really didn't realize just how long this ride would last!
brown_thumb
Active member
Yes, Floridian, life is a long ride on a short track.
To make a long story short, my Grandmother saved her own life and those of her younger brother and sister with a 10 lb. bag of sugar in occupied France during WW2.
