ECON Gold and Silver news

Kathy in FL

Kathy in FL

Administrator
_______________
Doc1 said:
Last Thursday I introduced myself to my new bank officer at the local branch I used. She wasn't busy so I took the opportunity to give her a fun demonstration about real money. I pulled a one dollar bill out of my pocket, a real silver dollar and a one ounce gold Krugerrand from my wallet. She'd never seen a Krugerrand before.

I asked her what the teller would credit me if I sent the dollar bill across the counter. Of course she said, "One Dollar." I then asked her what credit I would receive if I deposited the Silver Dollar. Again she said, "One Dollar." I asked what credit I would receive if I deposited the Krugerrand and she said that they couldn't take it. I explained that currently, the Silver Dollar was worth around $30, which merely indicated how debased American currency had become. I also explained that the Krugerrand was a true bullion coin with no face value, but that in previous eras, banks would gladly accept gold and were able to test it on site. She was fascinated by my little demonstration, but we were not able to conclude my business that day and I'd have to return on Monday.

On Monday I placed a $20 bill on her desk, as well as a US Double Eagle ($20) gold piece. Again, I asked what credit I would receive for the twenty dollar bill and for the twenty dollar coin. Of course she said twenty dollars. She'd never seen a Double Eagle coin before, but read the "Twenty Dollars" on the coin and satisfied herself that it was real, American money. I thought her eyes would bug out of her head when I explained that the Double Eagle was worth around $2600 and that its high price was - again - the result of the ongoing debasement of US currency! She believed me, but was surprised when I explained that until 1933 bank customers could walk into the lobby and exchange a $20 bill for a gold Double Eagle or vice versa.

Other metal business I did last week was to have a tire repaired at the local tire shop and pick up a couple of 5 gallon buckets filled with wheel weights. The tire guys know me and let me have them free. Also, they are kind enough to use their dolly to load the buckets into my truck, as a five gallon bucket is way the 'ell too heavy for me to load. Years ago, the wheel weights would be 100% lead, but now I have to laboriously separate them into steel, zinc and lead. It's worth it though, to get the free lead for my bullet casting.

Gold, silver and lead...I suspect that all three will become vastly more important as we go into a problematic future.

Best
Doc
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Bank managers are merely people managers these days and they no longer have hardly any ability to buck the fed overseers without losing their job or having the bank shut down. I am glad you were able to give her a history lesson, but I doubt it changes whether that bank/branch will take PMs in payments or deposits without fed oversight approving it.

In many cases the Trust and Wealth Management person at the bank (aka personal banker) has more clout to get things done for individual customers up to a certain point.
 
BetterLateThanNever

BetterLateThanNever

Veteran Member
Doc1 said:
Meaning absolutely no offense, I don't understand how you imagine a silver dime worth $2 would have impressed her more than my Silver Dollar worth well north of $20 or my $20 gold piece worth well more than $2000 did?

Best
Doc
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Maybe she would not be impressed with a silver dime either.

I imagine that quite a few people never used nor would recognize a silver dollar unless they saw it marked “One Dollar”. I’m 74 and I don’t think that I ever used a silver dollar till those Eisenhower’s came out in the 70’s

Though they are both valued 20 times their initial value I just think that these unaware folks would be more impressed that a “Dime” is worth two “One Dollar” paper bills.

But I could be wrong.
 
M

mikeabn

Finally not a lurker!
Doc1 said:
Meaning absolutely no offense, I don't understand how you imagine a silver dime worth $2 would have impressed her more than my Silver Dollar worth well north of $20 or my $20 gold piece worth well more than $2000 did?

Best
Doc
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Probably because the design is something she would be familiar with, thus introducing her to the underlying concept of precious metals.
 
J

Johnny Twoguns

Senior Member
Doc1 said:
Last Thursday I introduced myself to my new bank officer at the local branch I used. She wasn't busy so I took the opportunity to give her a fun demonstration about real money. I pulled a one dollar bill out of my pocket, a real silver dollar and a one ounce gold Krugerrand from my wallet. She'd never seen a Krugerrand before.

I asked her what the teller would credit me if I sent the dollar bill across the counter. Of course she said, "One Dollar." I then asked her what credit I would receive if I deposited the Silver Dollar. Again she said, "One Dollar." I asked what credit I would receive if I deposited the Krugerrand and she said that they couldn't take it. I explained that currently, the Silver Dollar was worth around $30, which merely indicated how debased American currency had become. I also explained that the Krugerrand was a true bullion coin with no face value, but that in previous eras, banks would gladly accept gold and were able to test it on site. She was fascinated by my little demonstration, but we were not able to conclude my business that day and I'd have to return on Monday.

On Monday I placed a $20 bill on her desk, as well as a US Double Eagle ($20) gold piece. Again, I asked what credit I would receive for the twenty dollar bill and for the twenty dollar coin. Of course she said twenty dollars. She'd never seen a Double Eagle coin before, but read the "Twenty Dollars" on the coin and satisfied herself that it was real, American money. I thought her eyes would bug out of her head when I explained that the Double Eagle was worth around $2600 and that its high price was - again - the result of the ongoing debasement of US currency! She believed me, but was surprised when I explained that until 1933 bank customers could walk into the lobby and exchange a $20 bill for a gold Double Eagle or vice versa.

Other metal business I did last week was to have a tire repaired at the local tire shop and pick up a couple of 5 gallon buckets filled with wheel weights. The tire guys know me and let me have them free. Also, they are kind enough to use their dolly to load the buckets into my truck, as a five gallon bucket is way the 'ell too heavy for me to load. Years ago, the wheel weights would be 100% lead, but now I have to laboriously separate them into steel, zinc and lead. It's worth it though, to get the free lead for my bullet casting.

Gold, silver and lead...I suspect that all three will become vastly more important as we go into a problematic future.

Best
Doc
Click to expand...
A bro of mine does stuff like that all the time, and lives in a place where he grew up, smallish area, everybody knows each other etc etc etc. I stopped trying to educate people well over a decade ago.

I told him he is just letting everyone know he's got the good stuff when the good stuff finally becomes the only good stuff that is still good stuff.

Mum's the word.

If anything now, if I were to mention it, I'd just play dumb such as "have you heard anything about silver? I mean the metal? No? I heard it's going to be the next Bitcoin. I don't know why, but that's what I heard.

They will get interested, or not. They will go look, or not.
 
J

Johnny Twoguns

Senior Member
The Shorts are a shorting, they are feeding in a massive amount of money and they have gotten the Comex price down. If the Asian countries are still buying, they will be taking advantage of the lower prices and taking more physical. Several of the people I watch are saying it is just a matter of time before physical orders cannot be fulfilled.
 
Hfcomms

Hfcomms

EN66iq
Exchange for physical going first to Hong Kong and then to the Chinese mainland via the Shanghai exchange which is a cash and carry market. When both metals start to become popular in the U.S. as everything else is failing there will be none to buy in no time at all.
 
J

Johnny Twoguns

Senior Member
Hfcomms said:
Exchange for physical going first to Hong Kong and then to the Chinese mainland via the Shanghai exchange which is a cash and carry market. When both metals start to become popular in the U.S. as everything else is failing there will be none to buy in no time at all.
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Yeppers. According to Rule and others, less than half of one percent in the USA own any PM's at all. Half of one percent. Whilst the rest of the world is scarfing it up like it is ivermectin in a covid scare.
 
West

West

Senior
Ivermectin in the horse paste tubes was just $3.50 before and even during covid. It's now $25+ at our local farm and garden.

Just like silver in the 90s. But it took 25 hard, lonely, and weird years to get to $25.
 
J

Johnny Twoguns

Senior Member
West said:
Ivermectin in the horse paste tubes was just $3.50 before and even during covid. It's now $25+ at our local farm and garden.

Just like silver in the 90s. But it took 25 hard, lonely, and weird years to get to $25.
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Went from $3.50 here to a little over $7. I have a number of tubes put away but will buy more if "bird flu" actually appears real.
 
Southside

Southside

Has No Life - Lives on TB
West said:
Ivermectin in the horse paste tubes was just $3.50 before and even during covid. It's now $25+ at our local farm and garden.

Just like silver in the 90s. But it took 25 hard, lonely, and weird years to get to $25.
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6.99 to 7.99 on line. I like the paste, not the cream. More distinct apple flavor. The DW & I joke about it all the time.
 
J

Johnny Twoguns

Senior Member
Hfcomms said:
Up n down, down n up. Silver will really become interesting north of a $30 spot quote.
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Shorts sure can't keep it down. A gold contract = 100oz. $25 move means a short contract just lost about $2500 per contract. But the Comex isn't moved by 'a contract'. It is moved by thousands and tens of thousands of contracts per day.

So, for every 1000 gold contracts a short just lost $2.5 million, in theory at least. They can buy these contracts on margin, which I've heard can be as low as 4%, so they just have to keep increasing their margin calls, but you get the drift.

To see how big the con is, Weir, Holter, Sheckman, Rule and others have said that there have been days when an entire years worth of silver has been traded on paper in a single day. Silver contract is 5000oz. A year's supply is about 822,000,000 oz, or 164,400 contracts.

Now, with silver, a short takes it in the pants to the tune of a $5000 loss with every dollar move up. More or less considering you have to keep in mind that entities shorting the market are playing with paper, on margin. Right now, those driving the price up are paying real money for real physical. When and if the real crunch comes, when and if the Comex runs out of actual physical, then some of those playing shorts will be obliged to come up with real metal, or real money, not margin amounts, to pay off the longs they lost the race to. That will be the point where metals will go crazy.

This was all napkin math and I don't really follow the markets the way I did when I played with a tiny bit of options many years ago, so anyone who knows the numbers better than I am recalling, feel free to correct the math. Thanks.
 
Z

zeker

Has No Life - Lives on TB
Johnny Twoguns said:
Several of the people I watch are saying it is just a matter of time before physical orders cannot be fulfilled.
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I would think that most physical orders cannot be fullfilled.

if I recall. england? asked for their gold back from storage in USA.

this was several yrs back.

and they could not get THIER physical back, but eventually, they got something back.

it was remelted from other sources.

all gold etc, held for 'safety' is identified with ser#s etc.

so you know what is YOURS.
 
J

Johnny Twoguns

Senior Member
zeker said:
I would think that most physical orders cannot be fullfilled.

if I recall. england? asked for their gold back from storage in USA.

this was several yrs back.

and they could not get THIER physical back, but eventually, they got something back.

it was remelted from other sources.

all gold etc, held for 'safety' is identified with ser#s etc.

so you know what is YOURS.
Click to expand...
It took Germany 7 years to get all of theirs back, and it was not the same bars they had stored there. I don't think it's all gone yet from the Comex (almost said CME lol, I have CME's on the brain from the very spectacular vid now on spaceweather.com, several full halo explosions, I've been writing on the changes in the Sun since the early 2000's. You could almost say CME has been burned into my brain, lol).

But it is going fast. I have no idea how many small orders aren't being fulfilled, but when some very big ones fail, word will get out and then the really big fireworks begin. Nobody I follow really knows, they all agree the real numbers are hidden.
 
J

Johnny Twoguns

Senior Member
CaryC said:
I got to say I appreciate you updates really I do, but without the from or to (it's up 26.00 to .........) I have no idea what the spot price is.

It went over 2400.00 a few days ago, then bombed down to 22?? so where are we now?
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I usually go to kitco.com for a quick look. You can also click on the links below the front page charts and you go to another chart where you can see the trading action going back a day, week, month, up to 5 years back.
 
A

AuEagle

Veteran Member
CaryC said:
I got to say I appreciate you updates really I do, but without the from or to (it's up 26.00 to .........) I have no idea what the spot price is.

It went over 2400.00 a few days ago, then bombed down to 22?? so where are we now?
Click to expand...
If you click on the goldseek box it will show spot prices for all PM's.
 
20Gauge

20Gauge

TB Fanatic
Johnny Twoguns said:
Shorts sure can't keep it down. A gold contract = 100oz. $25 move means a short contract just lost about $2500 per contract. But the Comex isn't moved by 'a contract'. It is moved by thousands and tens of thousands of contracts per day.

So, for every 1000 gold contracts a short just lost $2.5 million, in theory at least. They can buy these contracts on margin, which I've heard can be as low as 4%, so they just have to keep increasing their margin calls, but you get the drift.

To see how big the con is, Weir, Holter, Sheckman, Rule and others have said that there have been days when an entire years worth of silver has been traded on paper in a single day. Silver contract is 5000oz. A year's supply is about 822,000,000 oz, or 164,400 contracts.

Now, with silver, a short takes it in the pants to the tune of a $5000 loss with every dollar move up. More or less considering you have to keep in mind that entities shorting the market are playing with paper, on margin. Right now, those driving the price up are paying real money for real physical. When and if the real crunch comes, when and if the Comex runs out of actual physical, then some of those playing shorts will be obliged to come up with real metal, or real money, not margin amounts, to pay off the longs they lost the race to. That will be the point where metals will go crazy.

This was all napkin math and I don't really follow the markets the way I did when I played with a tiny bit of options many years ago, so anyone who knows the numbers better than I am recalling, feel free to correct the math. Thanks.
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Wow I never realized we mine nearly 1 Billion ounces of silver per year..... based upon that I will change my mind and say we can do a pm based dollar......
 
J

Johnny Twoguns

Senior Member
It is official: Briics is launching their own Global Currency. It will be announced officially in Oct. Ron Paul, President of Belarus, others. The dollar issue will get worse between now and then. Gold and silver here, will rise. Many, maybe most do not realize that both are at the highest they have ever been in other countries, and gold has had this distinction for many years now.
YT Redacted. About 13 minutes (last few minutes are a plug for stocks).
View: https://www.youtube.com/watch?v=XxR5ZDGvy0o
 
J

Johnny Twoguns

Senior Member
The price of gold and silver in a physical market: Shanghai Metals exchange.
Ron's basement. He says this is "the real price". Of course it isn't, both should be much higher. Prices from the "Oriental Ghost". Remove the space if you care to watch all of it. Ron has had some interesting guests lately.
https://www.youtube. com/watch?v=EwadJMZju9U YT, Ron's Basement, 58 minutes.

1715551005556.png
 
J

Johnny Twoguns

Senior Member
20Gauge said:
Wow I never realized we mine nearly 1 Billion ounces of silver per year..... based upon that I will change my mind and say we can do a pm based dollar......
Click to expand...
Well, WE don't. China pulls more gold out of the ground than anyone. Russia pulls out quite a bit. China sells NO gold (in bulk, not sure of jewelry - not sure about Russia today). Both, and pretty well every other country in the world are now buying up, through their Central Banks, as much as they can get their hands on. We can always do a PM based dollar of course. Just change the "value" of PM's.
 
J

Johnny Twoguns

Senior Member
Thunderdragon said:
I generally agree…but i dont see everything impolding until the usa can no longer finance their massive deficits. when that happens it is lights out. in the meantime politicians do not care at all and will just hand out $$$. until they cant. .
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The Fed is now buying the debt, because they haven't been able to sell treasuries in numbers for several years now. We are in the failure phase now. Jim Willie and others have said they have heard that the US .gov are playing shell games now with some of our allies; the .gov funnels money to other countries, they "buy" the Notes, and the whole deal is washed under the table, with some payola added in of course.

Same as the major banks in the USA and Europe have been doing for gold/silver futures on the Comex and LBMA.
 
TKO

TKO

Veteran Member
Just reading an article about Millennials. They are gold buyers and NOT bitcoin buyers. In fact, they were the number one group buying gold from Costco. "According to the Gold ETF Impact Study 2023, Millennials on average hold 70 per cent more gold than the two previous generations, with 17 per cent of their portfolios invested in gold."
 
von Koehler

von Koehler

Has No Life - Lives on TB
Johnny Twoguns said:
Well, WE don't. China pulls more gold out of the ground than anyone. Russia pulls out quite a bit. China sells NO gold (in bulk, not sure of jewelry - not sure about Russia today). Both, and pretty well every other country in the world are now buying up, through their Central Banks, as much as they can get their hands on. We can always do a PM based dollar of course. Just change the "value" of PM's.
Click to expand...

Because the Russian Ruble is worthless Putin has been buying needed supplies with gold.

No word on what is the exchange rate.
 
J

Johnny Twoguns

Senior Member
von Koehler said:
Because the Russian Ruble is worthless Putin has been buying needed supplies with gold.

No word on what is the exchange rate.
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I think you missed the part that BRIICS has now 'announced' the BRIICS won't be using the US dollar once they finalize their version. The simple majority of the world (64%) right now are in brics, roughly, another over a hundred countries are asking about joining. Exchange rates to the US dollar aren't going to mean much in a much shorter time than I would have thought two years ago.

Biden the Fool has undone us.
 
J

Johnny Twoguns

Senior Member
20Gauge said:
Wow I never realized we mine nearly 1 Billion ounces of silver per year..... based upon that I will change my mind and say we can do a pm based dollar......
Click to expand...
Dubia or UAE, I've read one of them are now trading thousandths of an oz of gold via blockchain and credit cards. As long as nothing knocks out the technology I've accepted the reality that at least for a while, maybe all over, blockchain is part of the future reality. That is how you can break up PM's into little bitty pieces that can accommodate a world population of a few billion and satisfy the insatiable desire for some to use the technology.
 
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