Author Topic: Silver price (Read 2693 times)

goodshot · « **on:** April 13, 2013, 01:10:59 PM »

silver spot price is the lowest i have seen in a while, anybody have an opinion on why or which way it may go?
Thanks

Dand · « **Reply #1 on:** April 13, 2013, 03:53:14 PM »

just a wild guess on my part but in the last few days I've seen some articles that gold is on a steady decline and I'd expect other precious metals would follow to some degree. Why the drop? don't recall an explanation. You might want to google some metals trading sites or investing sites and see if they have any news items about it.

bilmac · « **Reply #2 on:** April 13, 2013, 04:46:12 PM »

When the stock market crashes again gold and silver will go back up. For years the stock sellers have told us to look at stocks as a long term investment, not to pay attention to short term ups and downs. That is the way we should look at precious metal too.

mcwoodduck · « **Reply #3 on:** April 13, 2013, 05:02:30 PM »

I wonder if the scrap value got high enough that people that have lost their jobs are not selling any and all scrap silver they have like the tea set, silverwere, and old broken jewlery in both gold and silver that has fallen out of fasion to have a silver coffe set. The added supply will drive the price down. The price of silver hit about $40 a couple years ago and then bounced down to about current levels in both gold and silver. then bounced back up.
Personally to me it mean that the $100 to 200 a month I spend on silver and gold each month will result in either one more peace ot Morgan silver $ or an ounce of American, or Canadian ounce coin or a few more Kenedy or Ben Franklin half dollars or many be some more Washington Quarters. I buy all of them and keep them in case Obamas plan to kill our economy actually works.

Buckskin · « **Reply #4 on:** April 14, 2013, 03:51:41 AM »

I've been toying with the idea lately. I don't have anything in silver or gold. I did read a couple articles about it and of course there are several opinions about it. Some say that it is the end of a the second great gold rally. I know you are asking about silver, but silver follows gold like a little puppy... Cyprus is being forced to sell it's gold reserve and other European countries may follow. India isn't buying much gold anymore, which is the biggest buyer.

Where it is going from here is anyones guess. Silver is a cheap way of getting into the metals at about $26, but it was at about $6 less than 10 years ago and gold was less than $400... It's just like any other investment, risky. But at least it's pretty...

vabeachman · « **Reply #5 on:** April 14, 2013, 05:54:11 AM »

Gold and silver tend to have an emotional value that tends to drive their prices higher then their real useful value. When they get too high, industry/manufacturers start using other metals. If the day every comes when TSHF, which would you rather have, lots of lead and copper, or much smaller amounts of Gold and Silver? I would rather have lots of lead and copper.

Cuts Crooked · « **Reply #6 on:** April 14, 2013, 12:13:09 PM »

The thing about precious metals is....they are worth what they are worth....and their true purchasing power doesn't really change.

For instance: In 1873 you could buy a Colt single action army revolver with a twenty dollar gold piece....that same twenty dollar gold piece will still buy one today. There are minor fluctuations, usually related to the market "catching up" but basically the real value remains the same.

Victor3 · « **Reply #7 on:** April 14, 2013, 11:13:35 PM »

For one thing, I suspect that people are coming to their senses. Gold/silver has been overvalued for a few years now, partially run up by folks hoarding in fear of an economic collapse. Now many of those same people are selling, believing that the economy is improving (or because their unemployment has run out). All these "cash for gold" places aren't popping up for no reason.

If you want to own gold/silver, a safer strategy IMO is to buy rare coins made out of them. Research their movement in value over time and buy those that hold higher positions on the charts more steadily than bullion. Buy a graded $20 gold piece or Morgan Dollar and you have nearly an ounce of the metal + the value of its rarity. Coin collectors don't generally dump their collections, flooding the market and devaluing certain types of coins. Rare US coins are probably never going to be confiscated by the govt, such as gold bullion was in 1933.

tobster · « **Reply #8 on:** April 15, 2013, 02:33:51 AM »

I have a relative that dabbles in buying gold and silver on occasion ( mostly ingots ). He told me that availability has been iffy as of late, but had no idea why.

JonnyReb · « **Reply #9 on:** April 15, 2013, 02:50:33 AM »

Spot price still dropping, hitting just over 24.00 oz. this morning. Gold has sunk to well under 1500.00

On some conspiracy theory sites i read last year and this spring, it was said that the stock market would collaspe in 2013 after a record gain early in the year. The collapse was said to come right after a plunge in precious metals. I suppose we're seeing the huge stock gain now, and of course naturally metals fall when stocks are up, metals gain when stocks fall. I don't put a lot of faith in those sites i was reading but it IS darned interesting to indeed see the stock market rocket skyward to unpresedented levels all based on nothing...a faltering economy being artificially inflated.

One things for sure, what goes up must come down and when the market falls, those who have precious metals will be glad they invested in them. J

Buckskin · « **Reply #10 on:** April 15, 2013, 03:29:40 AM »

Gold tumbled to $1392 this morning. Silver is down to under $24. Both have been dropping like a stone over the last few days. Might be some opportunity here, but might be a sink hole too...

Empty Quiver · « **Reply #11 on:** April 15, 2013, 05:26:11 AM »

I read a theory that investors are pulling gold and silver investments for stock market. The market has been going up while metals are comparatively flat.

Plenty of money looking for good investment opportunities

gcrank1 · « **Reply #12 on:** April 15, 2013, 05:45:53 AM »

The Treasury doubled the money supply way (which when fully integrated into the economy will double prices, its mathematical) back in '08-09 and the Fed has been 'buying our debt' with the QE programs and into the stock markets to make it appear we are in recovery and/or to get people to buy back into the markets. If commodity prices go down it makes it appear the dollar is strengthening. This is needed to keep the 'confidence game' going. The gold (and thus silver values which track pretty close) price is set in London the night before (can you think 'manipulation')our markets open, and the US dollar is the 'reserve currency' it is valued in (except for some 23ish countries that have stopped using the dollar as such).
When the 'smoke & mirrors' bubble of this fiat currency busts what do you think is going to have any value, the funny money or hard currency?
News overnight was that China's manufacturing/economy slowed in the 1st quarter, that means western markets arent buying as much. If we really were in 'recovery' China would be expanding. So the markets are off this morning ,then the g/s price is plunging. That doesnt make sense, it should be going up. Do not be fooled that people are dumping g/s.... countries and banks are moving into it at an ever increasing rate. That tells me which way the wind really blows.

mcwoodduck · « **Reply #13 on:** April 15, 2013, 06:00:03 AM »

Quote from: Buckskin on April 15, 2013, 03:29:40 AM

Gold tumbled to $1392 this morning. Silver is down to under $24. Both have been dropping like a stone over the last few days. Might be some opportunity here, but might be a sink hole too...

Gold and silver are always going to be worth something.
Two things dictate the price of gold.
1 is the value of the dollar in relation to other curiencies and the buying power of the dollar. When the government was just printing money willy nilly to make money for the stimulis gold shot up, more dollars around lowers the worth of those dollars.
2 is the willingness of people to sell that gold. People are willing to buy gold cheap but how many are willing to sell it at a loss? I am willing ot buy Silver at 25 and ounce but who that paid $30 an ounce two weeks ago will sell it to me? Who will sell me Silver at $25 an ounce if they think it will be worth $40 in a year? You will only sell Silver you bought at $30 for $25 if you can take that $25 and turn it into $41 in a year in another investment. Or you sell your silver for $25 now that you bought for $30 as you think it will head ot $20 and you can buy it back in a year and have $5 more.
As I said I buy Silver and occasionally gold as a hedge against the collapse of the economy. As others have pointed out I too buy lead and brass to keep my silver and gold. Also if at any point we have to start backing our money with gold, silver and platinum again think of what gold will be worth then? We have over 40 trillion in dollars in our economy on paper. So you take a swimming pools worth of gold and silver and divide it by 40 trillion and you get the worth of gold, silver, nickel, and copper. Personally I look at my change and keep any penny made before 1983. In 1982 halfway through the year they went to a zinc disc with copper plating. Knowing that the copper in the coin is worth about 3 to 4 cents. I have found a few rare coins like an indian head pennies that I think the girl making change thought was Canadian. I have recieved a couple silver dimes, and one Silver Nickel for WWII.

gcrank1 · « **Reply #14 on:** April 15, 2013, 07:16:37 AM »

That 'value of a dollar' is based on just what? The nations (the biggies are the 'western industrialized nations') that use the US dollar as the reserve currency are doing so to prop up all those inflated currencies including ours to try to keep this whole mess afloat. It is true that the dollar 'devalues' due to printing fiat/inflation so it takes 'more' of those to buy the commodity. So just what has so dramatically changed that the commodity g/s has fallen? The structural deficits got fixed, or what? The economy is really turning around? People finding decent jobs?
It is that fixing of the prices in London that drives the bogus reserve currency, and thus those who track along with us, to 'appear' stronger. That is the real bubble and when it busts, watch out.

mcwoodduck · « **Reply #15 on:** April 15, 2013, 07:50:27 AM »

Quote from: gcrank1 on April 15, 2013, 07:16:37 AM

That 'value of a dollar' is based on just what? The nations (the biggies are the 'western industrialized nations') that use the US dollar as the reserve currency are doing so to prop up all those inflated currencies including ours to try to keep this whole mess afloat. It is true that the dollar 'devalues' due to printing fiat/inflation so it takes 'more' of those to buy the commodity. So just what has so dramatically changed that the commodity g/s has fallen? The structural deficits got fixed, or what? The economy is really turning around? People finding decent jobs?
It is that fixing of the prices in London that drives the bogus reserve currency, and thus those who track along with us, to 'appear' stronger. That is the real bubble and when it busts, watch out.

If is not the value of the dollar then it is the supply. Are people that can not find jobs having to sell the wedding bands the family silver, their class ring to pay the enourmous tax burden? Or when it hit $38 did people take profits on buying when silver was at $20?
And if you think the reserve currency is bogus then you should be happy gold and silver are low and use that worthless currency to buy hard assets like I am going to do.

gcrank1 · « **Reply #16 on:** April 15, 2013, 08:21:00 AM »

+1 that!

Buckskin · « **Reply #17 on:** April 15, 2013, 10:38:12 AM »

I wouldn't buy just yet, it's still dropping. Silver is at $22.77 down 14% and gold is at $1345 down over 10%

You may miss the rock bottom, but it will take a while for it to get moving upward and at least you won't miss the last dip. Now I am no Warren Buffet, but that is the way I see it. Buffet is against gold as an investment anyway...

mechanic · « **Reply #18 on:** April 15, 2013, 10:44:01 AM »

Copper, lead, titanium, palladium, chromium....all are down, along with the stock market. The bonds also appear to be dropping. Something is afoot, I don't know what.

Ben

gcrank1 · « **Reply #19 on:** April 15, 2013, 12:31:48 PM »

It isnt an 'if' it (hits the fan), only 'when'

mcwoodduck · « **Reply #20 on:** April 15, 2013, 01:29:42 PM »

Quote from: Buckskin on April 15, 2013, 10:38:12 AM

I wouldn't buy just yet, it's still dropping. Silver is at $22.77 down 14% and gold is at $1345 down over 10%

You may miss the rock bottom, but it will take a while for it to get moving upward and at least you won't miss the last dip. Now I am no Warren Buffet, but that is the way I see it. Buffet is against gold as an investment anyway...

Too late used my winnings from the sporting clay shoot to buy 4 American silver dollars three Peace and one morgan. As I find other $ I will use it to purchase more.

hillbill · « **Reply #21 on:** April 15, 2013, 02:43:48 PM »

metals, if i remember correctly have a 50 year history of making about 5% on your money,while the stock market has about a 11% history.

now a few years ago i remember buying sum kruggerands for 900$ and thinking "jeez this is prob a bad idea"!but when i sold them for 1700$ i didnt think it was such a bad idea.

metals are tangible and have potentiol if you can sit on them, but i would not mortage the farm for them or anything else.

billy_56081 · « **Reply #22 on:** April 15, 2013, 02:44:08 PM »

400 tons of gold were soldcausing a huge drop in the price. Other precious metal prices followed, there is still a silver shortage.

gcrank1 · « **Reply #23 on:** April 15, 2013, 02:49:58 PM »

This ain't your dad's, or your grandad's stock market, but PMs are always what they are.

Graybeard · « **Reply #24 on:** April 15, 2013, 06:13:15 PM »

Gold and silver both have quite limited intrinsic value of their own. Oh sure silver is used in solder and both are used in making jewlery and gold is used on circuit board connectors but those uses are tiny in comparison to that held cuz folks THINK it has value.

It really doesn't but the price is kept high by those who want to possess it cuz it's fairly rare just as they collect famous artists work. Both are far less useful in the real world than metals like aluminum, steel, copper and such.

mcwoodduck · « **Reply #25 on:** April 15, 2013, 06:51:13 PM »

Greybeard,
If the economy fails, people will take silver and gold for payment on things you will want, If the economy fails finding steel, aluminium, and copper will not be hard. There is enough steel in my car to melt and make what I want, The hood and the trunk lid are about perfect to make arrow heads out of with a pair of tin snips. same with the Alimiuium wiring in the car and the copper wire in the electric motors like the generators. I am not sure where I can find silver or gold just sitting on the side of the road waiting for me to whack it with an axe and use a pair of tin snips and peal out what I want or need.

Victor3 · « **Reply #26 on:** April 16, 2013, 12:19:33 AM »

Quote from: Buckskin on April 15, 2013, 10:38:12 AM

I wouldn't buy just yet, it's still dropping. Silver is at $22.77 down 14% and gold is at $1345 down over 10%

You may miss the rock bottom, but it will take a while for it to get moving upward and at least you won't miss the last dip. Now I am no Warren Buffet, but that is the way I see it. Buffet is against gold as an investment anyway...

While I don't agree with everything he has to say on the subject, WB's thoughts are interesting. Paraphrasing a couple...

"All of the world's gold holdings would make a cube 65' square. You can fondle the cube, but it will not respond."

As I recall, he want on to calculate all of the money generated by farmland in the history of the US, which was substantially more valuable than "the cube."

"People buy a mine and pay people to take gold out of the ground. Then they buy an underground vault, put the gold in it and pay people to guard it."

mechanic · « **Reply #27 on:** April 16, 2013, 12:37:20 AM »

Silver reserves are being strained by the use in electronic devices. Contact tips and relays have silver, the "I" phone could not be built without it. The US mint has run out of it a couple times already this year.

Gold, because of it's price is used far less.
All metals have increased a great deal, and copper brings 4 -5 times what it did a few years ago.
There is a push by China to be the world's currency standard, and it is not something we should take lightly. We pay so little now on investments, people are investing in US currency more for stability than return. If China can tease them away with higher interest.....

Ben

gcrank1 · « **Reply #28 on:** April 16, 2013, 04:20:07 AM »

Just 'google' 'bullion default' to see whats going on. Here's a link to make it easy. BTW, Im not endorsing this site below, only ref. it for the concepts at work that it explains.
http://www.bullionbullscanada.com/component/content/article/42-rokstories/25965-the-road-to-bullion-default-part-i

mcwoodduck · « **Reply #29 on:** April 16, 2013, 04:29:48 AM »

In the late 80's early 90's my Step Mom went to China and handed me some of the spare $ she had. I asked at the time what it was worth, she said about a dollar. When they went back I asked if she wanted the chinese monopoly money back, she said sure and it was worth about $15.
China is looking to be the currency and by loaning the US more and more money to cover he excessive spending at some point we will not beable to make the interest payments on the debt, at that point our currency will be woth less. And at that point the world will no longer hold the US dollar as the standard. We have had shifts in currency before as empires decline. At the founding of the country Spanish Silver was used as currency, later the English Pound was the world currency and then after WWII the US dollar took over. and as others have said above a pound of gold or silver will buy the same amount of stuff over history as long as the gold and silver is stable. The US left the gold standard as there was not enough gold to allow the economy to grow like it did from the late 60's to the 80's and beyond.