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 Replies: 27 / Views: 4,707 |
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Pillar of the Community
United States
4333 Posts |
When I listen to LED ZEPPELIN...so do my neighbors...
Roll hunting since '77
Dirt fishing since '72
Edited by fistfulladirt
07/25/2015 7:33 pm
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Pillar of the Community
 United States
586 Posts |
Found this one by google search. The 1st flat region was $2, 2nd flat region was $5; the 3rd one might be around $8-$10.   |
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Pillar of the Community
United States
586 Posts |
The question is, how much was the premium when silver spot was $5 ?
If the premium rises to 50% when spot drops to $10, then it is a wash.
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Pillar of the Community
United States
7390 Posts |
Why would the premium be 50%. Why wouldNT the premium be standard? Say I was going to buy a monster box if it goes to $10, your telling me I couldNT find it for say 15% over spot +/-?
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Pillar of the Community
United States
586 Posts |
@Cascade,
If spot price stays flat for a long time, most likely there won't much retail interest left. Then it is logical for dealers to have a smaller inventory and higher premium. And in the futures market, since the amount of long position could be pathetic due to lack of market interest, then it is very hard for dealers to hedge their inventory. Dealers might need to maintain a higher premium in case of price drop in an illiquid market.
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Pillar of the Community
United States
7390 Posts |
Ya but isn't the price for an ASE monster box and the spot premium associated with it set by mint. Or can the handful of "authorized" dealers just buy them and ask whatever premium they want? Seems like the mint would have a set premium % over spot that their dealers can charge. Like 10% or whatever |
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Pillar of the Community
United States
586 Posts |
@Cascade After the recent smackdown of silver spot price, many dealers already increased the premium for silver coins, including ASE. So, I am not sure about where this 10% rule comes from. |
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Pillar of the Community
United States
808 Posts |
I don't think the US Mint has ever attempted to control the premiums charged by direct purchase dealers. And there's certainly no control for premiums charged in the secondary market. Premiums are pretty much determined by what the market will tolerate.
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Pillar of the Community
United States
7390 Posts |
TheN why can't Joe blow order a monster box direct from the mint and pay the set mint premium?
The 10% was only a generic number leon
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Pillar of the Community
United States
586 Posts |
@Cascade, If you order ASE directly through the mint, the premium might be much higher. I tried and found out it was actually cheaper to order from dealers. I guess US mint doesn't have enough personnel to process small orders; so that they prefer to run wholesale with authorized dealers. After all, US mint is neither a online dealer, nor your local coin shop. |
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Pillar of the Community
United States
808 Posts |
Remember that the ASE coins sold through the US Mint web site are specifically made for the collector market: each comes boxed with COA and has the "W" mint mark. The bulk ASE bullion coins sold through the secondary market aren't struck with the same dies as the collector versions and do not have any mint mark. They are not the same coin and rightly command different premiums. |
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Valued Member
57 Posts |
Back to the charts.
Those of you that are younger will soon have a great
opportunity. We are in the final 5 waves down in the
correction. No hurry though, this has a ways to go.
If it doesn't go real low it will go long, we'll see.
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Replies: 27 / Views: 4,707 |
First Page
Posted 07/25/2015 7:42 pm
