Does anybody notice that when the price of gold/silver goes up overnight, the price of physical gold/silver are in sync with the increase in real time but when the price goes down, there's often a small change and sometime nil change. I know this because I track the opening price daily. For example, the troy oz price of gold has gone down over A$100 by 6AM (EST) this morning but the price of physical gold has only come off $5. Silver has come off $A1.20 but physical price is unchanged. This is across multiple bullion dealer sites. Feels a bit like how they price petrol at the bowser.
When the spot drops the premiums associated with preorders are still in place until the supply chain becomes stable.
Fair enough but $95 worth of premium? The spot price has rebounded this morning and the physical price has followed suit. It seems to go one way but not the other.
of course BU shops don’t want to move accordingly just because spot goes south…even here in FS threads, no sellers are adjusting their prices when spot turns SOUTH in a week or two..…but when spot goes NORTH, prices change within MINUTES… some sellers even dishonour buzz… [had this several times…YOU KNOW WHO YOU ARE]
If you're looking at spot price thats your first mistake haha. There is no premium on physical bullion, its just the price of physical. Spot is just a reference.
premiums are based on supply + demand basis….so, if you running around like chooks trying to find spot-priced metals…GOOD LUCK! ever wondered why BU shops are putting ‘pre-order’ on their listed items now? Just look at their ‘estimated delivery date (or month)’
I would have assumed that there should be some relative correlation between the two prices. I would expect some discrepancy in the pricing but not $100 in Au and over 1c in Ag.
lol.. yeah as if anything in the precious metals world makes sense you may as well go take acid and find the meaning of life that way!
