Some great bargains are going begging for far too long lately. Makes me worry about the true liquidity of PMs
I agree, there are no hard statistics but sales on the forum do appear to be very slow atm. Even the old floor price of spot seems to take a while to clear.
Like any market, buying is strong when prices are rising, selling outstrips demand when prices are falling. Those of us who hold phys like to convince ourselves it is a totally different market to paper ..... until we see what we didn't want to see.
Well hopefully that is accurate, and that those who want to sell If/When silver goes in to the $30s and $40s that they actually can.
when silver was touching 50, i had saw no problems selling thousands (even a 5 figure transaction) at a time
I think there's a general consensus that metals prices are heading south in the short term, at least until the rising strength in the USD has run its course.
I believe it is necessary to split the purchasing of PMs from the economy. If I was not involved in another financial venture I would be buying at least 120+ fifties a week. In one of the circles I move, I am finding some normally liquid individuals are going through a slowdown. What resources they have, they are holding onto and also paying down debt. Another circle of friends are hurting, living pay cheque to pay cheque. Another circle, is going backwards, single parents moving in with the kids. Finally, others have money to burn, right job, in the right industry, at the right time. We have a convergence of deflation and inflation at the same time. Big ticket items are cheaper, but no-one can afford to replace what they have so these items aren't selling. The essentials, other than petrol, are all going up, eating into the pay cheque. I think anyone who needs to sell silver to get by is probably glad they squirreled money into metals when they did leaving them with an asset that hasn't been spent before now.
It is a signal that we are very near to bottom. it may take few days, weeks or few months. You can feel it right now by looking at number of people logged in forum. Tide may turn soon.
I'd be buying, but im split between saving for a car Im going to need for work in the next couple months, wanting to buy a motorbike for summer, or spending it on PM's.
The crypto mania at the end of 2013 confirmed in my head that even gold at $4000 - $5000/oz, there will be buyers.
I think there may be two reasons sales are a bit slow on the forum. Some of us just have no extra money to spend and those of us that have some disposable fiat are holding their breath to see if the prices drop even further. I noticed (to my chagrin) that the bargains on the sales thread are being snapped up but those things with even a reasonable premium are lingering and fading away.
Here's what Peter Schiff says. Yes, I know... Peter sells gold and silver for USD's but he has some very good points in his latest video and...it's only 8 minutes and 25 seconds short. [youtube]http://www.youtube.com/watch?v=rhtSZcvYcLM#t=50[/youtube]
everyone wants to save a dollar here and there but it is ok to buy a 6 pack every weekend I always say,u have to buy when something is available and of course if u can afford.even if spot drops to next to nothing u think price of any item will follow? how could?dealers meant to make profit....
If you are an Aussie forget looking at gold and silver price trends. The Australian dollar trend is the one to watch.
I was thinking about that today, if you live in the States you only have USD/gold, if the USD drops then probably gold climbs, at least we have an extra variable here in the form of the AUD/USD exchange rate. It's possible to double your return without gold spot moving that much at all. Probably why there are a few "bring on the Aussie tumble" spruikers here.
