silver price suppresion reaches critical point as shortage may lead to

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797craig

New Member
This morning, one of the largest dealers in the United States indicated silver eagle supplies were fine with over 2 million ounces in inventory. Then just a couple of hours later and following Wednesday's price smash, the US Mint announced a temporary suspension of sales.This same dealer is now suggesting contracts are going to have to be re-worked (premiums increased), which is unprecedented.It's too early to tell but it appears the US Mint was caught totally off-guard. They appear to have been operating on the assumption that declining prices wouldn't generate a large burst in US demand. For a period of time, it looked like they might have been proven correct. No more. Over 2 million eagles flew out of the mint today in just a couple of hours the fastest sales rate ever. - Silver Doctors

http://www.examiner.com/article/sil...itical-point-as-shortage-may-lead-to-showdown
 
I too am curious to see what will happen to silver eagles for the rest of the year. I hope that it spills over to a short squeeze in silver all together!
 
I don't think there is an actual shortage, just an immediate shortage of blanks on hand for the mint to produce coins from. They usually produce from 3 to 5 million a month so they probably have a couple week lead time to ship in blanks based on sales. The 5 million in the first week of November probably used up all they had on hand before their next shipments. Or it could be as simple as they can't meet production demands do to production rate.
 
question to all the long time stackers....... did a shortage like this occur say 10 years ago, in 2004?

I've only been seriously stacking since 2011.

But did buy a few coins in 2002, when I was reading Bill Fleckenstein's blogs.
Nobody I knew around me bought silver or gold then.
Bill basically bashed Greenspan as being an idiot, and he successfully predicted the housing crash.
That's why I bought a few coins then, but it took several years before what Bill was predicting to occur.

But since 2011, I'm a stacker, and several people I know are stacking as well now.

Unless there was major shortages back 10 years ago and I was just not aware of them, does that mean there are a hell of a lot more stackers these days than 10 years ago?
I stack metals, still living good, I'm sure 90% of stackers are not selling their PM's.

Price of silver will need to head up when the so called "economy recovery" start requiring silver in the manufactoring sector.

Sit back and wait for it.
People are buying millions of silver coins?
Amazing.
Was this the case 10 years ago?
 
I have only been stacking since 2007, and I have been working at a coin shop where we do sell gold and silver on the side.

I don't think that there have been any major shortages, just a couple minor ones. The last one that I can remember was about a year and a couple months ago when there was about a 4-6 week backlog for a little while but other than that, that is about all I can remember.

I think that more people are becoming aware that the stock market is pumped up by the feds, and I am one of the many people curious to see what the future holds?
 
I have only been stacking since 2011, A friend of mine introduced the fine art to stacking a few years ago and no one I knew stacked, And now I know of many more who have just recently started stacking in the last few years, And the consensus is to much printing of the fiat currency and manipulation of the markets . I know that there are stackers on this forum more qualified to answer your question since I am new to stacking. With the price of silver right now I have no problem buying silver even if it drops to 10 and gold a 1000. I am about to pull the trigger and pick up my first 1 0Z of gold, Even if the the price is 1200 and then drops 1000 or even 800 I don't care my next 0Z will bring my cost per average down and then the next 1 and so on as I did with silver. I look at it like this, Industrial use is up for silver more than it was 10 years ago, Look what's going on in the markets crap the whole world, China Russia, India, Turkey, buying tons of gold I mean hoarding tons of gold and the now the Swiss referendum and just the amount of people I know now stacking And that's just the tip of the iceberg ...(Crap I had a hard time logging on to this forum it kept telling me max # of users try again later ). Silver was 50 now its down to 15 WOW even if it goes down below 10 then I am buying more. I am in for the long haul 7 to 10 years say or even 15 I don't care ,personally I don't think it will take that long to see my gains. I believe we have been given an opportunity of a life time. With silver gold being at these prices I am a buyer. I am not a very well educated person but even I can see the writing on the wall. With the recent announcement of the mint running short of blanks, The miners banding together, Constant reminders of the gold and silver fix. Sure they will eventually get the blanks and everything will be good, And even if silver drops to 5 and gold to 400 my cost of average will be low, but I just don't see it.,Im pretty sure we will see another run..... Sure it might take a few years but eventually it will, And let me tell you this I will not be the last one to the party :)
 
Better than sticking your cash in a bank earning 2% interest which barely cancels out the consumer price index.
 
I started stacking nearly a month ago

I hope that the price of both Silver and Gold stay at current levels or come down abit, but either way up or down I will continue to grow my stack week in and week out

In the long term I am certain that I will see gains and no doubt I will pick up some new friends along the way:)
 
No1joey said:
Better than sticking your cash in a bank earning 2% interest which barely cancels out the consumer price index.
Click to expand...


that's what got my sister in. She had money inn the bank and I told her even if the price doesn't go up you'll make money if the Aussie drops (something she understands because she travels). technically she hasn't made money but it would have been sitting in the bank earning sod all interest and losing ppp value. Plus it might even go up! maybe...
 
I see the extra silver eagle sales like.. say in 2012 silver was at $30 oz, let's say 1000 choice stackers set a budget of $1 million per year each goes to silver.

So they bought 33,333 x 1 oz silver eagles each when it was $30 oz. when silver dropped to $25 oz they still spent their $1 million but got 40,000 x 1 oz silver eagles.
down to $20 oz they got 50,000 oz and today $15 oz the're getting 66,666 x 1 oz silver eagles.

So 1000 stacker's are still spending $1 million per year each only difference is the're getting twice as much silver for the money spent.
 
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