Gold price
Posted by D&P-OR
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Re: Gold price November 19, 2022 12:56AM |
Tom, That's terrific those two stores accept silver coins for trade, bread and milk two important stable items. My hats off to them, hope they continue accepting silver and other stores follow.
After reading your post, was curious what a silver dime are going for. A precious metal bullion dealer I recently purchased silver 1oz premium bullion from, just strolled through the site and found silver dimes (junk silver) are around $2.39 apiece. And that's with a $100.00 face value purshase, 1000 dimes X $2.39 cents apiece equals $2390.00. For higher qualities, price really doesn't drop much just several cents apiece. That's a far price increase from 3.6X face value, I remember those days as well as many forum members probably experienced the same, miss those days when silver was inexpensive. Junk silver is probably the best silver to barter with for goods, at least that's what I've read from articles. I'm sure the serious silver buyers are loading up on everything, junk silver to premium bullion and bars to cover all bases.
Possum nailed it, hold some or a lot. Totally agree, The day will come many will regret not hanging on to gold or silver.
Keep the coil close to the soil, I know sounds corny but hey it's what we do
After reading your post, was curious what a silver dime are going for. A precious metal bullion dealer I recently purchased silver 1oz premium bullion from, just strolled through the site and found silver dimes (junk silver) are around $2.39 apiece. And that's with a $100.00 face value purshase, 1000 dimes X $2.39 cents apiece equals $2390.00. For higher qualities, price really doesn't drop much just several cents apiece. That's a far price increase from 3.6X face value, I remember those days as well as many forum members probably experienced the same, miss those days when silver was inexpensive. Junk silver is probably the best silver to barter with for goods, at least that's what I've read from articles. I'm sure the serious silver buyers are loading up on everything, junk silver to premium bullion and bars to cover all bases.
Possum nailed it, hold some or a lot. Totally agree, The day will come many will regret not hanging on to gold or silver.
Keep the coil close to the soil, I know sounds corny but hey it's what we do
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Re: Gold price November 21, 2022 09:10PM |
marcomo Wrote:
-------------------------------------------------------
> Excellent point that I hadn't considered, Steve. I
> didn't take into account catastrophic scenarios wh
> ich could make paper silver, as opposed to physica
> l silver, worthless.
marcomo -- precisely
"Bank runs" are only possible, due to our financial system being one that employs "fractional reserve banking." Banks "lend out" depositors' "savings," with a requirement to keep only a "fraction" of that money "in reserve" (meaning, of course, that there is NOT "one dollar" in the vault, for every dollar that is deposited, but instead only 10 cents for every dollar is kept "in reserve"). And so, as we all know, if EVERYONE demanded their dollars deposited, to be returned to them, all at once, the bank could not accomplish that, and the house of cards would begin to tumble.
MEANWHILE, consider the possibility (which I believe is a CERTAINTY), that the relationship between the paper silver market, and the supply of physical silver, is a similarly "fractional" system. I've seen estimates as high as 100 to 1 (100 ounces of paper silver to every ounce of physical). Of course, the difference between the banks, and the silver markets, are that the banks ARE EXPECTED TO, and allowed to by law to, engage in "fractional reserve banking." It's how the system works, and everyone knows (or should know) that. It's no secret. HOWEVER -- this is NOT the way the metals markets are supposed to function. By "definition," the silver spot price is supposed to reflect the price for an ounce of DELIVERABLE silver. The idea being that the only reason to trade "paper" silver is that it's easier to move "digits" on a computer between buyer and seller, than it is to move actual ounces of metal. BUT, there's SUPPOSED to be a 1:1 ratio between paper ounces, and physical ounces. It is NOT SUPPOSED TO BE "fractional..." But -- though it's not "supposed to be," it IS (at least, that's the word of those whose job it is to research and understand such things). So -- IF that's true, you can quickly see what happens if all of those folks who BELIEVE they own physical silver, per their paper contract, actually sought to "take delivery" of their physical...
Steve
Edited 2 time(s). Last edit at 11/28/2022 02:36AM by steveg.
-------------------------------------------------------
> Excellent point that I hadn't considered, Steve. I
> didn't take into account catastrophic scenarios wh
> ich could make paper silver, as opposed to physica
> l silver, worthless.
marcomo -- precisely
"Bank runs" are only possible, due to our financial system being one that employs "fractional reserve banking." Banks "lend out" depositors' "savings," with a requirement to keep only a "fraction" of that money "in reserve" (meaning, of course, that there is NOT "one dollar" in the vault, for every dollar that is deposited, but instead only 10 cents for every dollar is kept "in reserve"). And so, as we all know, if EVERYONE demanded their dollars deposited, to be returned to them, all at once, the bank could not accomplish that, and the house of cards would begin to tumble.
MEANWHILE, consider the possibility (which I believe is a CERTAINTY), that the relationship between the paper silver market, and the supply of physical silver, is a similarly "fractional" system. I've seen estimates as high as 100 to 1 (100 ounces of paper silver to every ounce of physical). Of course, the difference between the banks, and the silver markets, are that the banks ARE EXPECTED TO, and allowed to by law to, engage in "fractional reserve banking." It's how the system works, and everyone knows (or should know) that. It's no secret. HOWEVER -- this is NOT the way the metals markets are supposed to function. By "definition," the silver spot price is supposed to reflect the price for an ounce of DELIVERABLE silver. The idea being that the only reason to trade "paper" silver is that it's easier to move "digits" on a computer between buyer and seller, than it is to move actual ounces of metal. BUT, there's SUPPOSED to be a 1:1 ratio between paper ounces, and physical ounces. It is NOT SUPPOSED TO BE "fractional..." But -- though it's not "supposed to be," it IS (at least, that's the word of those whose job it is to research and understand such things). So -- IF that's true, you can quickly see what happens if all of those folks who BELIEVE they own physical silver, per their paper contract, actually sought to "take delivery" of their physical...
Steve
Edited 2 time(s). Last edit at 11/28/2022 02:36AM by steveg.
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