Greetings, I'm a fairly new stacker, and premiums have spiked in the area of 20-25% over spot, in addition to shortages of silver bullion in general compared to just a few weeks ago where I live in Asia. Does anyone have any thoughts or advice as to whether it would be a good idea to still keep stacking at these premiums, or do premiums historically subside when the local dealers start stocking up on their inventory over time - in which case it would be worth waiting a bit. The only issue is some places may not even know when new stock will arrive. But even then, I don't know if that would necessarily mean premiums will drop. I thought about whether it would be a good idea to switch up to gold, as their premiums are not nearly as high as compared to silver at the moment. Like I said, I'm a fairly new stacker, so thanks for any tips or advice.
hi and welcome the lower the price the more the premium is as a percentage of spot. In dollar terms its similar. If silver went to lets say $2 spot, and premium is $6, it doesnt mean you shouldnt invest cause premium is 300% of spot. If you think silver is cheap buy it if you think its going down wait, premium needs to be there for people who mint the coins, and resellers to make some money
You could hunt around for junk silver (coins, jewelry, ect) and should have no problems getting that at spot or below it. Or if you can just buy kilo bars to minimize the premiums.
Just wait till dealers got rid of their existing stock, dumped their hedge, and order before they replenish.
I dont know about shortage but it always seems to happen just before its time to release next years coins.
