silver premiums

JohnnyBravo300 said:
Selling in a hurry was probably the biggest thing against you. Especially if you havent had it long. That's a hard learned lesson there but not the end of the world.
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I wasn't actually in a hurry to sell. But noting how the market price wasn't all that liquid, meaning if you were in a rush to sell, you'd have to go to a dealer and get 80% below spot for it.
The rush to sell issue for gold is much less as the premiums are lower.
 
80 percent dang that's a raw deal. My son does well selling on Ebay. Its not always fast but he gets the premium for it.

My lcs pays 90 percent for generics and 95 for Eagles, Englehard and other nicer stuff.
That's still not enough in my opinion.
 
You lose all premium you paid, which means secondary markets and private sales only. Unless you hold til fiat falls over and then trade for what you need, assuming you can keep it safe
 
Polar.bear.Stacker said:
I wasn't actually in a hurry to sell. But noting how the market price wasn't all that liquid, meaning if you were in a rush to sell, you'd have to go to a dealer and get 80% below spot for it.
The rush to sell issue for gold is much less as the premiums are lower.
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Who would sell back to a dealer for 80% that's like crimeconverters buy back pricing .
Most dealers in Oz or Melbourne pay spot & if they don't
Go elsewhere .
 
Polar.bear.Stacker said:
I wasn't actually in a hurry to sell. But noting how the market price wasn't all that liquid, meaning if you were in a rush to sell, you'd have to go to a dealer and get 80% below spot for it.
The rush to sell issue for gold is much less as the premiums are lower.
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That's fantasy!
Most reputable dealers will offer to buyback at around spot - 3%
Offer your silver at spot and it will be snapped up in minutes on this forum!
These past few days I have been buying kilo bars for resale on this forum and everyone has charged me a premium above spot!
You can't even source 100 oz bars at spot!
 
Aurora et luna said:
That's fantasy!
Most reputable dealers will offer to buyback at around spot - 3%
Offer your silver at spot and it will be snapped up in minutes on this forum!
These past few days I have been buying kilo bars for resale on this forum and everyone has charged me a premium above spot!
You can't even source 100 oz bars at spot!
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Sorry it was a typo, I meant 80% of spot.
I wouldn't sell my silver at spot unless I was also able to buy at spot, the point being the premiums you pay above spot should generally be recoverable in a sale. Otherwise it says the market is illiquid because the spread is so large.
 
Polar.bear.Stacker said:
Sorry it was a typo, I meant 80% of spot.
I wouldn't sell my silver at spot unless I was also able to buy at spot, the point being the premiums you pay above spot should generally be recoverable in a sale. Otherwise it says the market is illiquid because the spread is so large.
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Spot fluctuates, market sentiments fluctuates, premiums fluctuates, metal supply fluctuates as well as a dozen other variables. Having a fixed or inflexible position on how to trade metals is not wise!
If I had sourced kilo silver bars 18 months ago when spot was around $700 + $50 premium; do you think I would really care that much about recovering all my premiums now that the silver spot price is $1110?
 
I've never paid much premiums unless it was one thing I really wanted for my own collection. I almost always buy at spot price or a buck over maybe.
Certain things I will pay a few bucks over but that's it.
This last year I have had to pay a little premiums (which is really just the price to acquire physical now.)
It didnt used to seem like such a spread when premiums were thirty six cents over spot. It was easier to guess prices back then.
 
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Oh you bought and sold at the same spot price so that's it.
I wondered about that. Glad you didnt take a bad loss although it sucks to lose anything.

You are now a recovering silvercuck.
 
JohnnyBravo300 said:
Oh you bought and sold at the same spot price so that's it.
I wondered about that. Glad you didnt take a bad loss although it sucks to lose anything.

You are now a recovering silvercuck.
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I stack fractional (recently got into those half dollars!) and collect the others. You're basically saying if you pay premiums, you get rekt
 
I don't mind paying some premium, when the sale price, people are paying 1'000 on top :)
say you pay $100 -150 for certain USSR commi bars, then sell them for $1700 WOW
buy again and sell and repeat

there are many market segments

some gold for liquidity
spot silver are for storage/bigger bars/ugly lesser premiums
there are collectable items too
then premium products etc eg coins, limited etc etc
 
It's hard to get away from not paying some premium at least.
The online dealers for me are the highest but more selection than my coin shop has. Hes mainly a jewelry store anyway.
 
JohnnyBravo300 said:
Its priced at fair market value now higher than spot since they have diverged more.
There is no premium, just the price for paper or physical.
Get the paper a little cheaper of course. Cant get the metal for that price.
A ten dollar difference in price is the divergence.
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This is incorrect. Retail, low volumes of anything will always have premiums over the spot or wholesale price. There is and always will be premiums on retail silver. You're ignoring volume and what spot price represents. On COMEX silver is traded in 5,000 ounce units. That's the minimum. It's supposed to be five 1,000 oz bars for people who want physical delivery, which most people won't want.

It's not a question of "paper" vs. "physical". It's wholesale, high volume commodities trading vs. itsy bitsy retail coins and bars. There's never going to be a divergence between the two. There's just the usual markups, costs, and market dynamics. Industrial buyers of silver pay very close to spot price, and that's as physical as it gets. What you're talking about is just retail, not physical per se.
 
Kook premiums appear to be doing well on the older coins, 2oz are pumping on eBay keeping up with lunars
 
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