What A Joke The Pricing Is On A Monster Box!

It is what it is I guess, but or don't buy.

I was going to post something to this effect, but see it's already been covered. I always wondered how a bullion firm would make money in a big time down market. I guess I know now. I hope they survive o.k. because I utilize them.

Echoing @grapecollects, my LCS refuses to sell their old silver, bought a few weeks ago, at a loss. They will sell new purchases for the old smaller premium, but their own supplier has issues getting a new supply at the new lower silver price.

Perhaps you can get 1,000 ounce bars at the new price from the London metal exchange (I have not tried), or buy paper silver at the low price, but LCS are not a well of silver where we can buy as much as we want at the price quoted on the big exchanges.

When prices drop fast enough, you get a PM disconnect: spot price has no real bearing on physical metal price because all dealers will sit on their hands instead of selling at a loss. This exact thing happened in the aftermath of 2008 as well. In fact, there are quite a lot of similarities between then and now. Anyways...some dealers will leave prices unchanged in an attempt to keep selling to panic buyers, some will simply mark everything as "out of stock" until prices rebound. Spot silver touched into the 11's today at one point, but there was definitely nobody selling physical at that price.

It will, but the knife is still falling. The DOW could lose another 10,000...maybe more. It does not bother me in the least that PM prices are not rising yet. This is the stage where the impatient get frustrated and doubt their position. My only real worry is that society could actually fall apart before the recovery can happen this time.

I'm fascinated by the economics of both the precious metal markets, in particular silver, and the financial markets in time of fear. It's interesting that while spot is way down, and that number is based on futures contract price, physical is at premium. This is a function of fear, not necessarily those of us on the forum, but the public in general. There is that initial phase where many will want the comfort of holding "real" money and will pay the high spread premium.
The price of physical silver could come down if we do slip into a world recession, silver is a widely used industrial metal and it's value, while not entirely tied to industry, is also based on that side of consumption.
The feel I get from previous posts is that we wish to purchase not for fiat protection but for speculative profits ( and there is absolutely nothing wrong with that) but the current physical market is making that difficult. So as previous posts have mentioned, try paper, however I'd recommend that route via future contracts or options; with options being the best bet for most. These two methods help define your risk and if the trade goes your way maybe then you can make those physical purchases in a market that has settled down a bit.

The things mentioned in this thread are VERY IMPORTANT to potential precious metal investors.


Navigating the spreads these guys are offering is very risky. If you buy a one ounce silver coin when the market price is $12.50/oz and the spread takes the coin to $18-$20, that's a HORRIBLE investment!!

I love precious metals but this is not the time to buy UNLESS they get their premiums in order.