Metals - Silver and Gold

[Godzilla1984]

This inspired me to go check the story with platinum again. I think it may be a very good buy right now. It's certainly compelling for the same reasons as silver, but it's a bit harder to invest in.

Spoiler: CHARTS!

How it started:
View attachment 1920341
How it's going:
View attachment 1920342
Why the banks are shitting silver bricks right about now:
View attachment 1920343

Basically, the first 2 graphs are illustrating the days of mine/refiner production of new bullion to deliver on the various pieces of paper the banks have on the liability side which are theoretically redeemable. The conspiracy theory is that the banks are leveraged out the ass, and are selling paper on physical metal which isn't truly deliverable at the paper price, or are even just going straight-up fractional reserve and backing multiple papers with the same bullion. Only a small portion of people stand for delivery, most are just speculators after all... what could go wrong?

Well, basically those paper IOUs become a big fuckin problem real quick if it looks like the physical supply is getting tight, and lots of people (or apple, or tesla, or samsung) come clamoring to redeem their paper while it'll still get them something. If you're a bullion bank and want to maintain the credibility of the instrument as a price discovery mechanism, you need to cough up the bullion, but in a price run up you're gonna be paying way more to source it than the profit you took selling the paper, especially if you are naked short i.e. you don't have the metal, and you have to go cap in hand to the producers and politely ask them to use lube.

What I want folks to see: look at the price differences for each of the big 4 PMs, and compare the short positions before and after. If the banks are up to some funny business (theoretically speaking ofc), those bar graphs are like a coiled spring getting wound up: potential energy just waiting to break out. If I was in the procurement division of a big industrial consumer, I'd be thinking really hard about front-running the market and hoarding as much silver and platinum as I could. Platinum especially looks cheap IMO.

TLDR. System's fucked. Always has been and always will be. Play smart and within your means.
Platinum, palladium, rubidium are great and all, but volatility is the norm from here on out.
Sliver is the lagging PM by design for a (((reason))).
Platinum shares a colour and nothing else.

 

[Dog-O-Tron 5000v5.0]

Silver bid/ask back down to 10 cents vs the $1 it had been at a couple weeks ago.

 

[Erika Furudo]

So the kiwi coin got me looking into silver. I don't own any PM but why the fuck would anyone invest in silver?
In the UK there is a 20% VAT on silver, that is fucking insane. You will never make a profit selling that stuff and you would need hyperinflation to make it worthwhile.

Instead of getting silver, wouldn't it be better to just buy smaller amounts of gold instead of silver? Gold has no VAT so it just seems like people (from the UK) who invest in silver are totally fucked. Why would you buy £300 of silver over £300 worth of gold, when you really get £240 worth of silver? 20% VAT is fucking mind blowing.

 

[HOMO FOR LIFE]

So the kiwi coin got me looking into silver. I don't own any PM but why the fuck would anyone invest in silver?
In the UK there is a 20% VAT on silver, that is fucking insane. You will never make a profit selling that stuff and you would need hyperinflation to make it worthwhile.

Instead of getting silver, wouldn't it be better to just buy smaller amounts of gold instead of silver? Gold has no VAT so it just seems like people (from the UK) who invest in silver are totally fucked. Why would you buy £300 of silver over £300 worth of gold, when you really get £240 worth of silver? 20% VAT is fucking mind blowing.

That's UK. The world isn't UK.

 

[WD-40]

Why invest in gold when you can invest in copper.
https://oilprice.com/Latest-Energy-News/World-News/Copper-Prices-Soar-To-10-Year-Highs.amp.html
Copper prices have hit $4.23 per pound.


Crackheads everywhere are getting in on the copper train.

https://www.reddeeradvocate.com/news/copper-wire-thefts-from-eastern-alberta-oilfield-sites-lead-to-charges

https://www.nbc12.com/2021/02/25/police-two-suspects-sought-henrico-copper-theft/

 

[TheRedChair]

Why invest in gold when you can invest in copper.
https://oilprice.com/Latest-Energy-News/World-News/Copper-Prices-Soar-To-10-Year-Highs.amp.html
Copper prices have hit $4.23 per pound.
View attachment 1950346

Crackheads everywhere are getting in on the copper train.

https://www.reddeeradvocate.com/news/copper-wire-thefts-from-eastern-alberta-oilfield-sites-lead-to-charges

https://www.nbc12.com/2021/02/25/police-two-suspects-sought-henrico-copper-theft/

And like anything it too will pass.

 

[Erika Furudo]

Why the fuck are premiums so high on silver coins? Britannia is £27 (Before the 20% VAT). Currently silver is around 19. That is fucking bullshit. I may be new to PM, but what is considered a "normal" premium? Or even low? There is no way the current stuff is normal, I figured things would be cheap after the reddit short BS failed, but nope, even as the price is going down its not effecting the premiums, how often do premiums change?

 

[Godzilla1984]

Why the fuck are premiums so high on silver coins? Britannia is £27 (Before the 20% VAT). Currently silver is around 19. That is fucking bullshit. I may be new to PM, but what is considered a "normal" premium? Or even low? There is no way the current stuff is normal, I figured things would be cheap after the reddit short BS failed, but nope, even as the price is going down its not effecting the premiums, how often do premiums change?

When it comes to retracement, especially these days, it never goes back to the previous lows.
But coin spot price has always been a premium.
Usually the best bet is to bite the bullet since its just going to be worse later on.

 

[Erika Furudo]

When it comes to retracement, especially these days, it never goes back to the previous lows.
But coin spot price has always been a premium.
Usually the best bet is to bite the bullet since its just going to be worse later on.

I figured it was put up due to r/wsb silver ambitions and would eventually go back down. I just can't see this not fucking me in the ass if I ever wanted to cash out. On one hand I really like the idea of owning somehting with physical value, and I actually really, really like the coin design from an artistic pov (Britannia 2021) but it seems like silver would need go go up by a considerable amount before it breaks even as I have read things like milkspotting will lower resale value and you can't really prevent it from happening.

 

[Godzilla1984]

I figured it was put up due to r/wsb silver ambitions and would eventually go back down. I just can't see this not fucking me in the ass if I ever wanted to cash out. On one hand I really like the idea of owning somehting with physical value, and I actually really, really like the coin design from an artistic pov (Britannia 2021) but it seems like silver would need go go up by a considerable amount before it breaks even as I have read things like milkspotting will lower resale value and you can't really prevent it from happening.

If you have doubt going in, just don't do it then.
Believe it or not, all long term investment starts off with the solid foundation of 'fuck it' and forgetting about it until you're dead.

 

[Erika Furudo]

If you have doubt going in, just don't do it then.
Believe it or not, all long term investment starts off with the solid foundation of 'fuck it' and forgetting about it until you're dead.

I wish I had that attitude with bitcoin instead of "No one will use this outside of drug dealers on the internet, monopoly money".

BTW if anyone had some money and could buy either gold or silver, which would be better? Gold is worth more and you can store more money in less space, but obviously you can't break it down as opposed to the same value in around 60 silver coins that make exchange easier on a smaller scale. Does it even matter for a beginner if it's gold or silver?

 

[Poppavalyim Andropoff]

i find the margins are better on chrome vanadium.

 

[Godzilla1984]

The gold vs silver debate's a dead horse anyway.

 

[CharlesFosterOffdensen]

Honestly you're best bet is a local cash- in-hand exchange coin shop. Premiums are generally lower, no shipping costs, better stocked, and most importantly, you retain anonymity.

 

[melty]

I want to buy some gold bars and don't want to go to a local store. Where is a safe place to buy them online?

 

[ShortBusDriver]

Why the fuck are premiums so high on silver coins? Britannia is £27 (Before the 20% VAT). Currently silver is around 19. That is fucking bullshit. I may be new to PM, but what is considered a "normal" premium? Or even low? There is no way the current stuff is normal, I figured things would be cheap after the reddit short BS failed, but nope, even as the price is going down its not effecting the premiums, how often do premiums change?

It's been that way for the last few weeks when Reddit wanted to buy all the silver

Prices has premium had really dropped only to skyrocket again.

I want to buy some gold bars and don't want to go to a local store. Where is a safe place to buy them online?

https://www.moneymetals.com/

America's Trusted High Volume Gold & Silver Dealer | Monex

Call 800-997-7859 to learn why Monex has been America's trusted, high volume precious metals dealer for 50+ years. Great Prices. Superior Quality. Call Now!

www.monex.com

https://www.jmbullion.com

The first one is the cheapest, but a lot of stuff is out of stock

 

[Takodachi]

I've been collecting silver for almost 2 decades now because I just like the metal, I dont have any intention of selling it unless shit gets *really* bad.
I like to believe that the 5% Ashkenazi in my blood compels me to do it.

 

[Lord of the Large Pants]

I've been collecting silver for almost 2 decades now because I just like the metal, I dont have any intention of selling it unless shit gets *really* bad.
I like to believe that the 5% Ashkenazi in my blood compels me to do it.

If that were the case, you'd only have 30 pieces of it HEYOOOOOOOOOOOO

 

[Erika Furudo]

Honestly you're best bet is a local cash- in-hand exchange coin shop. Premiums are generally lower, no shipping costs, better stocked, and most importantly, you retain anonymity.

Pretty sure those are all closed due to lockdown deeming most shops "non-essential".

 

[Godzilla1984]

Pretty sure those are all closed due to lockdown deeming most shops "non-essential".

If you can contact the owner, I'm sure that you'd become his new best friend with the magic words:
I'll pay in cash.