| Author |
 Replies: 101 / Views: 15,577 |
|
|
|
Pillar of the Community
Canada
2805 Posts |
I think nobody has a clue about where silver is going to go, so I'm just along for the ride here.
|
|
Pillar of the Community
Canada
746 Posts |
Here is another scenario which might explain the drop in silver/gold prices. Could it be that the big boys are cornering the physical market? All they would need to do is dump their paper gold/silver, let the price drop & pick up the physical cheap. Then raise premiums via larger corporations and force the smaller dealers to raise their premiums or wipe them out.
I'm thinking the Eric Sprott, David Morgan, Chris Duane, etc. types who are and have been pushing the buying of physical silver. The Silver Circle movie is now playing in movie theaters in the US, which promotes awareness in buying physical silver. Any thoughts?...
|
|
Pillar of the Community
Canada
2019 Posts |
From what I have read from different sites here and there is that silver cost anywhere from $15 to $25 an ounce to produce and that the quality of the ore mined has dropped up to 40%, so they need more ore to make 99% silver. Just not seeing silver dropping much more then what it is now , and more likely its going to go back up then down.
|
|
Bedrock of the Community
13014 Posts |
If silver cost 15-25 an ounce to produce there wouldn't have been any produced from the late 80s/early 90s till 2010 which just isn't the case.
Some of the harder to get stuff may cost close to that that would be left alone with lower prices but silver isn't going to cease to be produced with price drops.
Were not running out any time soon. Mining technology improves that let's you get more, new mines open, new mines are found, stuff get melted, were recovering it now from electronics ect.
|
|
Pillar of the Community
Canada
2019 Posts |
This is from 2010 so cost could/should be a bit higher now, most things cost more to produce not less as the years progress even with new technology. ie: New technology is not free or cheap. The Complete Costs of Mining Silver. Quote:
Investors need to realize that all costs should be factored into calculating what a company actually pays for bringing an ounce of silver to market. In each ounce of silver that a mine produces and sells to market a portion must go towards exploration, general administration staff, interest expense, depreciation and etc....we also can't forget the costs in mine remediation when the operation is finished. To me, it doesn't matter what a mine's cash costs are if they can't make a profit. The industry has highly publicized the cash costs of mining companies which in my opinion has misled the investing public.
Quote:
Even though Hecla had such a low cash cost in 2010 (due to a great deal of by-product credits of gold-lead-zinc), its complete cost per ounce was $17.84 using my formula. When someone asks me how much it cost for Hecla to produce an ounce of silver in 2010....it's closer to $17.84 than it is to -$1.46. If the average price of silver had fallen below $17.84 an ounce in 2010 and each mining companies' production costs remained the same, Hecla, Revett Minerals and US Silver would all have shown losses instead of profits. Fresnillo had a much larger margin due to its huge volume of high grade silver production that it could have absorbed much lower silver prices. http://news.silverseek.com/SilverSe...12064021.phpEdited by Northerncoins
04/18/2013 10:42 am
|
|
Pillar of the Community
United States
2168 Posts |
The price has been flat today so far. I am going to see if my local shop has anything avail. and at what cost.
|
|
Valued Member
United Kingdom
90 Posts |
@Northerncoins I really wouldn't trust Silverseek as a reliable news source, they're one of the most heavily biased scare mongers that try to convince people to buy silver at all times because of impending doom, even when prices drop dramatically they give it their own spin of its ok the massive uprise is still coming.
|
|
Pillar of the Community
Canada
746 Posts |
"I really wouldn't trust Silverseek as a reliable news source, they're one of the most heavily biased scare mongers that try to convince people to buy silver at all times because of impending doom"
Yes, and silverdoctors.com are pretty famous for that too, it seems...
|
|
Pillar of the Community
United States
5862 Posts |
Quote:
I am going to see if my local shop has anything avail. and at what cost. Good luck with that! I went to my local shop yesterday and they were selling all junk silver at $5 over spot... |
|
Pillar of the Community
United States
1200 Posts |
Did my obligatory weekly pawing through the LCS generic Ag tub this AM. Grabbed an Engelhard 1oz and an Engelhard 10 oz (older stamped landscape-
version) for $2 over spot. YEE HAH! Two weeks ago there were three generously filled tubs. Today there was only one half-filled one, so I have a distinct
feeling that todays happy grabs may have been the end of an era (at least for a while). Oh, well...
I've had half an eye on those little SilverTowne 5oz poured cuties for some time. If the LCS generic well goes+stays dry and ASEs stay as unavailable
and premium-unattractive as they are right now, maybe it'll be time for some of those little ST pours...
On how low silver will go -- that's definitely anybody's guess, but I'd really hate to see it go back down below $20. The $20 level takes us back to the level
of before the big peak starting in 9/2010.
Edited by Fat Freddy
04/18/2013 8:21 pm
|
|
Valued Member
 United States
271 Posts |
Right now it's just under 24 dollars an once.
|
|
Pillar of the Community
United States
1200 Posts |
Yes... and that's back up from a low of $22.69 per Kitco. I'm still waiting patiently to see it ignite and launch.
|
|
New Member
United States
26 Posts |
I know I'm not the only one who wants to see silver drop even further just so I can buy a lot while it's cheap.
|
|
Valued Member
Canada
314 Posts |
I am still new to collecting and I have slowly been buying some silver,ASE, SM and some silveretowne 1oz bars.. it is pretty cheap right now.? But, I would prefer it to go even lower to the 18-20 range.. only because I would like to buy more... I'm in no hurry to try and turn a profit but rather collect.. I still have the collecting mind set from hockey cards and hot wheels..LOL I am looking to be in this hobby for a long time, so I would like to stake for many years to come, but prefer to buy silver cheap.... and the cheapest I found is Silvertowne which now takes paypal,even better with the free shipping to Canada.
|
|
Valued Member
United States
271 Posts |
23.28 today, this is the lowest I've seen it since 2008.
|
| |
Replies: 101 / Views: 15,577 |
First Page
Previous Page
Posted 04/18/2013 07:59 am
