Brilliant thread. The point you're making has gone over the head of most of the repliers. People will cry foul about 'manipulation' then turn around jumping to sell you their silver as 'low' as $75. If we keep going, there will eventually be someone offering to sell for just above the current so called 'manipulated' paper price. So people still believe the paper price is king after all......
You underestimate us, we all know what he's saying but we think he's stupid. Look, as long as I can buy physical at spot + tiny %, I will most definitely sell that same physical at spot + 200% if you want it. Paper or not has nothing to do with it. Simple 101 economics, supply and demand. You can freakin get 10000oz of Physical Silver at around spot price, if you have the money.
Yeah like you and the OP. So what say you, $100/oz WITH FREE SHIPPING PHWOAAAAAAAR BARGAINNNNNNNNNN. I'm 105% serious here. I can supply 10000oz physical to you within 3 days if you provide me with that capital upfront.
Paper price is king... say physical was $100oz and paper was $50oz, all people would need to do was take out a long contract stand for delivery and sell @ a 100% profit. Taking out the long contract will increase the paper price and selling the physical will lower the physical price. Thus if you do this many times paper and physical will be ~ =. Thus if physical and spot do deviate is can only be a short term thing, solvable by market forces.
Wait until you can no longer get physical silver because the Mints have run out - then it will be whatever someone is willing to pay, paper price will mean nothing.
Under what conditions would the mint run out of silver? I'm sorry but I dont see that happening any time soon. Besides, lack of supply would drive prices up and then youd get an influx of people selling. So... where does that take us? oh yeah, market price, again...
I didn't realize how many ss members would trade their silver for fiat..Short term big gain long term pain.. 1 loaf of bread? that will be $6000 fiat thanks..Oh you want to pay in silver, that will be 1oz thank you! Oh you have gold that will be 1 gram thanks! It is ok at the moment trading silver for fiat as long as you can get back into the market soon after you sell. If TSHTF you might not get a chance to do this and because your fiat will be worth nothing. I know this is the worst case scenario but you don't want to be caught short if our current financial system collapses. The thought of setting the price at $400 will not work because someone would break rank and cause a rush to sell. With nearly2000 members in SS, I have always thought it would be a good idea to target each member buying a particular silver coin with a low mintage. EG. A coin with a mintage of 20000. Ten coins each(average 10 per member and we corner the market). It is good to see SS members starting a thread such as this one but to get 2000 members to act together, is a hard task for we are what we are, Human! Regards Errol43
Traditional response is...."and fools seldom differ" http://en.wiktionary.org/wiki/great_minds_think_alike seriously, there is a wiki for everything!
Short term gain when we sell our silver to the Original Poster, and then we buy 8 times as much back at the manipulated price. Longer term even bigger gain! Tried it a few times no one could get it together to corner the market but I have a feeling we are going to try with the Silver dragons
The silver futures contract are 5000 oz. The mini is 2500 oz. And almost every day 2 to 5 long contracts take delivery. The manipulation exists but the banks (jpm, hsbc) are covering the shorts position. A think a year or two the price are twice or more than now. Whit or whitout manipulation
Errrr Errol43 have a look at what's happening with the dragons and the Perth meet on 01 Sep. Don't need all SS members to buy 10 coins, we're already trying to corner the market! At last blush we'd EOI'ed about 1/3 of the mintage!! We can do it!!!
SilverPhoenix..OK! What's the gist with the silver dragons on the 1st Sept, or is it top secret? What is the mintage of these dragons? Are they the 2012 dragons? Await with interest your reply! Regards Errol43 Just read the thread from CK and Silver Soul. Great to see them trying to get something going.
It all comes back to CTP (Cost to produce) depending what you read that varies from basically nothing (Co-product derived from base metal mining) or a targeted resource production cost of about $12-27 ozt. As the real cost increases so does the selling price. I think payable Gold production costs can be as high as $1200 ozt, according to an article I read recently.
Im waiting for the hardcore stacker to come out and say there holding out for a higher price because bob said it would reach it.
