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I woulda thought this thread would be littered with posts as a result of the pullback we are having in the metals. If Silver drops below $25, I'm a buyer.

theoakman says

I woulda thought this thread would be littered with posts as a result of the pullback we are having in the metals. If Silver drops below $25, I’m a buyer.

Same here - if premiums are too high for coin form, i'll just go with the generic bars. I'm having a hard time justifying $4-5 + over spot for an SAE.

Sold my gold coins about a month ago. Made some money. I'm happy.

I've never understood the gold and silver market. I guess it's worth whatever people will pay for it.

jvolstad says

Sold my gold coins about a month ago. Made some money. I’m happy.
I’ve never understood the gold and silver market. I guess it’s worth whatever people will pay for it.

Silver is a valuable industrial commodity. To write it off as "worth whatever people will pay for it" is pretty silly.

theoakman says

Silver is a valuable industrial commodity. To write it off as “worth whatever people will pay for it” is pretty silly.

Ultimately every commodity, industrial or otherwise, is worth whatever people will pay for it. So its the exact opposite of a pretty silly statement. Thanks, have a great day.

Jeremy says

theoakman says

Silver is a valuable industrial commodity. To write it off as “worth whatever people will pay for it” is pretty silly.

Ultimately every commodity, industrial or otherwise, is worth whatever people will pay for it. So its the exact opposite of a pretty silly statement. Thanks, have a great day.

Rofl, so, if that's your view, why even make such a statement if it applies to everything? The fact is, you were picking on gold and silver exclusively. The two metals are not equivalent and have entirely different market dynamics that will ultimately determine their price.

oakman,

with the drop to $26ish, and bounce back to $27, are you still holding for a lower number. I've got the itch to pick up a monster box of SAE's.

Last time I got this itch, I could pick one up for about $8k, but missed that gravy train. Now that they are running around $15k, the risk drastically increases.

I know the long term fundamentals haven't changed - but I always hesitate on silver when the price is over $20. I paid around $12-14 for most of what I have.

joshuatrio says

oakman,
with the drop to $26ish, and bounce back to $27, are you still holding for a lower number. I’ve got the itch to pick up a monster box of SAE’s.
Last time I got this itch, I could pick one up for about $8k, but missed that gravy train. Now that they are running around $15k, the risk drastically increases.
I know the long term fundamentals haven’t changed - but I always hesitate on silver when the price is over $20. I paid around $12-14 for most of what I have.

I picked up the lionshare of my stack from $11 to $19. Long term, I still believe Silver will hit $50. In the end, I don't see a discrepency between buying in at $27 and buying in at $25. It's small potatoes in the grand scheme of things. As far as Silver goes, I have all I need. I won't buy more unless we touch $25. The absolute lowest it will go would be $23 in my opinion. I wouldn't bet on that happening but we have seen bigger drops in the Silver market like in 2008 when we saw it drop from $22 to below $10.

theoakman says

joshuatrio says

oakman,

with the drop to $26ish, and bounce back to $27, are you still holding for a lower number. I’ve got the itch to pick up a monster box of SAE’s.

Last time I got this itch, I could pick one up for about $8k, but missed that gravy train. Now that they are running around $15k, the risk drastically increases.

I know the long term fundamentals haven’t changed - but I always hesitate on silver when the price is over $20. I paid around $12-14 for most of what I have.

I picked up the lionshare of my stack from $11 to $19. Long term, I still believe Silver will hit $50. In the end, I don’t see a discrepency between buying in at $27 and buying in at $25. It’s small potatoes in the grand scheme of things. As far as Silver goes, I have all I need. I won’t buy more unless we touch $25. The absolute lowest it will go would be $23 in my opinion. I wouldn’t bet on that happening but we have seen bigger drops in the Silver market like in 2008 when we saw it drop from $22 to below $10.

That's my concern, is another one of those crazy plummets in the silver market. I know you can't time everything, but you at least want to get the most for your money.

I may hang on in the $25 camp as well. Palladium I almost jumped into around the $400 range, and I kick myself for missing that boat too.

Just as I typed the last comment, silver pulled back into the $26 range - think you might be right.

Thanks again.

Here's one prominent economist calling for Gold $874 in 2011

"China's economy will not overtake the United States any time soon, because the Chinese housing bubble is about to blow, doing the same thing to them as it did to us;

dire warnings about $4 a gallon gasoline are moot as commodity prices will fall amid China's sudden slowdown;

gold, that harbinger that all is not right with paper money, will plunge from its current heights of more than $1,300 an ounce to — get this — $874 an ounce as China gets margin calls.
"
http://finance.yahoo.com/banking-budgeting/article/111966/gloomy-economic-guru-says-america-is-back;_ylt=AmsiO_ddMoVRUY2WstUO0C27YWsA;_ylu=X3oDMTFhb2U4YmVxBHBvcwM3BHNlYwNzcGVjaWFsRmVhdHVyZXMEc2xrA2dsb29teWVjb25vbQ--?mod=bb-budgeting

jvolstad says

Sold my gold coins about a month ago. Made some money. I’m happy.
I’ve never understood the gold and silver market. I guess it’s worth whatever people will pay for it.

I am curious as to what other investment was so enticing that you gave up your US dollar risk hedge for it. Did you put your new investment choice through a screening process that's akin to the same analysis you put precious metals through?

I would suppose you bought equities in the US stock market. For the record, gold and silver kicked the stock market's ass last year, and will likely do it again. And again. You did factor that into your analysis, correct?

I would imagine you also factored in the headlines--
IMF calls for dollar alternative
http://money.cnn.com/2011/02/10/markets/dollar/index.htm

And these regular headlines overseas--
China buying gold at a discount
http://www.indiainfoline.com/Markets/News/China-buying-gold-bullion-at-a-discount/5069344126