Would everybody please stop selling silver to each other!

[Jislizard]

I can understand the desire to buy silver, all I am asking is that you go elsewhere to do it.

My rationale is that (other than manipulation) prices are driven by supply and demand.

If we all buy from the mints or dealers, we soak up the supply. Thus supply becomes restricted, the prices go up and if anyone else wants to buy some they will have to come to us eventually.

If we just buy from each other the same silver goes round and round in circles, the general supply actually increases because we are buying silver already in the hands of the public and the Perth Mint is still supplying everyone else. Supply increases and prices should go down.


And while we are on the subject, stop buying silver from abroad too.


By bringing in supplies from abroad while we still have stocks in Australia you are increasing the supply without doing much to increase the demand, so once again prices should be going down.

If two brothers can corner the market I am pretty sure several thousand people can, at least the local market in Australia.

We need to control all the spare silver in Australia, it doesn't matter which individuals in the group hold it, as long as it is being held by someone in the group. Once we have all the spare stuff we can work on draining the Mints and spreading panic stories about silver shortages. That's when we capitalise on our own local bubble.

I have done my bit by picking up $620 of world silver coins from a non-forum member, thus making the pool of available silver slightly smaller.

Thank you for doing your bit.

 

[hawkeye]

I think you need to be reported to someone. Market manipulation. A jail term would be appropriate in my view.

 

[Jislizard]

Does anyone have the number for JP Morgan's lawyers?

 

[Silverthorn]

There's a new slogan right there. "Drain the mints"

 

[Maggie]

Lizzy, do I have to promise?

 

[Jislizard]

You can cross your fingers if you like

 

[Teh silvers]

How else can we sell a bar of silver in 20 minuites any get payment within a few minutes?

 

[fishball]

In theory there is no difference. We sell to others then use that money to buy more silver...lol.

 

[Jislizard]

In theory there is no difference. We sell to others then use that money to buy more silver...lol.

It is only in theory that there is a difference, in reality it will make none!

It is you people who buy on the dips and sell on the highs that are causing all the problems, you are the volitility! We hoarders are doing all the work to keep prices stable.

The silver they bought from you could have gone towards depleting the mint or dealer's reserves, thus reducing the supply of silver in the wild.

You will still buy silver anyway, maybe just a bit less, and if you also buy silver from the mints or dealers you will also deplete the surplus stock.

It is even worse when you sell some silver to a member on the forum and then take that money and use it to buy silver from a different member on the forum, who could then use the money you gave them to buy more silver from a forum member and before you know it a million dollars worth of silver has changed hands without any noticable effect on the stockpiles.

If that million dollars was to be spent on fresh silver to be hoarded then that would be one million dollars of silver off the spreadsheets, one million dollars of silver no longer available on the market and the pool of available silver for sale would be that much shallower. Our demand for silver would be sated as usual, so demand would stay the same but supply would be less (by a million bucks worth)

In order to meet supply the mines and mints would have to work harder, thus driving up prices and the value of our investments.

Come on guys, once we get this sorted we can move onto gold manipulation but I can't do this all by myself!

 

[fishball]

A million dollars of Silver buying between members doesn't equate to one million dollars actually existing. It's kind of like fractional banking.

If I give you 500k for Silver and you give 500k to AEL to buy Silver off him that is $1 million changed hands but there was always only 500k. If I didn't buy from you, you wouldn't have the 500k in this example.

Everybody sources from the mints and dealers anyway, eventually the supply trickles down and they get depleted.

Holding and flipping doesn't matter, we still hold ~same amount at the end of the day regardless of money changing hands.

Thus buying from Mints or Dealers or SS members makes no difference in the grand scheme of things.

 

[thatguy]

I concur so everyone buy off the dealers and if I see any bargains on SS i'll personally PM them a msg to go else where

 

[Recon]

I really don't think this little community has enough volume to impact the global spot price.

Also, in theory, if I buy from Joe from the forum, I was going to buy anyway right? I dumped cash and got silver. Joe was going to sell anyway. If not to me, then to someone on the outside. If we both traded internally or externally, the net result is the same.

Your theory insinuates that if I had purchased silver from the outside, that Joe would not have sold his silver at all. I think that's an erroneous assumption.

 

[alor]

here we can get new members to help us hold the silver, and we go out and buy some more. so total holding amongst us will go up a little.

it is unfortunate that everybody can not own a little of silver, its impossible.

Should everyone own some gold or silver?
http://www.youtube.com/watch?v=fCMcVNVj6G4&feature=related


[youtube]http://www.youtube.com/watch?v=fCMcVNVj6G4[/youtube]

 

[hawkeye]

If two brothers can corner the market I am pretty sure several thousand people can, at least the local market in Australia.
.

If it means we end up like the Hunts, I think I'll give it a miss.

although.... <thinks to self> maybe I could pretend to get in on it and then sell them out at the end leaving them holding the bag ... hmmmm..... yeah, that'll work! </thinks to self>

Yep, I'm in!!

 

[hem9]

I really don't think this little community has enough volume to impact the global spot price.

Also, in theory, if I buy from Joe from the forum, I was going to buy anyway right? I dumped cash and got silver. Joe was going to sell anyway. If not to me, then to someone on the outside. If we both traded internally or externally, the net result is the same.

Your theory insinuates that if I had purchased silver from the outside, that Joe would not have sold his silver at all. I think that's an erroneous assumption.

Give the man a prize, this is exactly why this threads main idea was ridiculous to begin with.

 

[hem9]

If two brothers can corner the market I am pretty sure several thousand people can, at least the local market in Australia.
.

Those two brothers had a net worth of billions in the 80's when money was actually worth something. Unfortunately I doubt all the members of SS net worth would be worth a billion in today's money.

 

[Jislizard]

A million dollars of Silver buying between members doesn't equate to one million dollars actually existing. It's kind of like fractional banking.

Precisely, that is why we should not be buying between members, that one million dollars in purchasing power is half as effective as one million spent at the mint. Remember the goal is to remove silver from the pool in order to drive prices up by restricting supply!

Of course the argument is that other members would not have the money to buy silver if we did not give it to them in exchange for their silver (but we know that you are addicted and if you couldn't get money from us you would get it elsewhere)

If I give you 500k for Silver and you give 500k to AEL to buy Silver off him that is $1 million changed hands but there was always only 500k. If I didn't buy from you, you wouldn't have the 500k in this example.

But if I give you 500K worth of Silver, and then a week later I take that 500K and buy the silver back from you (no I don't know why we would, it is just an example of a really small circle of buying, you could throw in half a dozen extra trades in there is it makes it easier to swallow!) then we have spent one million dollars between us but not one single ounce has been removed from circulation and not one single dollar spent has had any effect. There is still a million dollars worth of silver sitting out there on the shelves, gathering dust, demand has not changed so the prices will not increase.

However if you bought 500K of silver from the Mint instead of me, that is 500K less in the silver pool. Now I can't buy 500K as I no longer have that money that you would have given me so I will just buy 1K from the mint (I don't actually have that either). But that is a total of 501K that is no longer available for purchase.


Well, that's what I think anyway!

 

[hawkeye]

If two brothers can corner the market I am pretty sure several thousand people can, at least the local market in Australia.
.

Those two brothers had a net worth of billions in the 80's when money was actually worth something.

True. And by the time it was all said and done they had a fraction of what they started out with. Doh! Great story though. The Hunt Brothers and the Circle K Cowboys. http://www.gold-eagle.com/editorials_04/laborde012704.html

 

[xenith69]

Your obviously full and don't want to buy anymore silver
Lizzie or you would want the price to drop!
What your really saying is "I want out but only at $xxxx"
I'm glad the JPMs of this world are suppressing the Ag spot price, because I have at least 30yrs o buying left to do!

 

[Jislizard]

Erronous Assumptions! Ridiculous main idea!

I am sensing some resistance but that is ok, they laughed at Einstein when he said the Earth was round.

If it wasn't for Thatguy and Hawkeye's staunch support I would give up on the lot of you!

Let me try and address some of your issues!

Firstly the Hunt Brothers, true, that didn't end well and we should try to avoid a repeat of that if possible. How about we don't tell anyone we are trying to manipulate the market?

They bought their silver on credit and couldn't react when the margins were changed, we are buying with fiat (hopefully no one has taken out massive loans to buy silver)

Secondly, don't underestimate the buying power of the tin-foil hat brigade, sure, the Hunts had billions of pretend money which we don't have access to, but I am not suggesting that we try and do this overnight, we could spread the purchases out over a couple of weeks.

Thirdly, impacting the global spot price? I wish! No I do not think this can happen, particularly with you bunch of lily livered investors. You may notice from my posts that I am interested in the local silver markets, reducing the localy available pool of silver. The rest of the world's silver is for Phase Two.

As to Joe and his buyng and selling habits, this is where some self control would come in handy, why buy it if you are only going to sell it again, why not just buy paper silver and save on postage? Buy and hoard until it goes to the moon, the paltry little dollar here, dollar there profit Joe is making at the moment is nothing compared to the value of his silver once we corner the market and create the rumours (which by the looks of it I am going to have to do myself!) Joe is the reason that silver is all over the place.

Come on Xenith69, talk about erronous assumptions! As my first post stated I am doing my bit by buying wild silver, the point is, if we make the price go to the moon we don't need to buy any more, what we already have will make us rich, but to make the price go higher we need to buy it all! And that's where you come in!

I think that should have helped to allay any fears over the project, I will be looking for some venture capitalists over the next few weeks so please all check your inboxes.