chris_is_here
10-08-2011, 12:35 PM
Just a brief follow-up to my last report a couple of weeks or so ago......after the big smack-down, I was buying silver bars/rounds at $35 each in one of the local shops out in the 'burbs, with spot at $31, not so good, not so bad....dealers downtown were asking $5 over spot, which was/is a bit above my tolerance level. But, one of the larger city dealers did have cull Morgans for $27 each. I bought some of the ones that have been cleaned; my personal belief, even though cleaning reduces the numismatic value, they are still fundamentally solid coins.
Today, with spot at $31, I picked up a few rounds and bars at $32 each (including tax) from a smaller local shop, which was a nice surprise, I'll be back there on payday to make a more serious buy. I think the dealers are struggling with excess inventory after the 40% haircut in silver and may they want to move stuff cheap just to get some cash flow. Not easy to be a dealer when stuff like this goes down. Imagine buying at $42 one week and watching spot go below $30 the next week. You can pull your inventory or move stuff at a loss, a bummer either way.
So, if you are in the Boston area, look for deals locally before going online, no reason to paying more than a couple of bucks over spot right now.
Today, with spot at $31, I picked up a few rounds and bars at $32 each (including tax) from a smaller local shop, which was a nice surprise, I'll be back there on payday to make a more serious buy. I think the dealers are struggling with excess inventory after the 40% haircut in silver and may they want to move stuff cheap just to get some cash flow. Not easy to be a dealer when stuff like this goes down. Imagine buying at $42 one week and watching spot go below $30 the next week. You can pull your inventory or move stuff at a loss, a bummer either way.
So, if you are in the Boston area, look for deals locally before going online, no reason to paying more than a couple of bucks over spot right now.