DoctorSolar

That’s right

 

 

 

I only have a small collection. I use mostly Goldmoney

 

With my coins:

 

I’m going to wait till the price is £[insert high number] an ounce and then offload them on ebay

 

OR

 

I will use them to buy food when the state collapses

 

OR

 

I will leave them to my children when I die.

Thanks for the reply.

The thing I like about taking delivery of coins is that when the spot price collapses as it did last year the premium just rockets to cover the difference so the downside risk seems much lower.

Folks seem prepared to part with that high premium too from what i saw last year.

So would you advise to buy bars over these coins??

I am getting mightily tempted to buy a healthy stack of these from coininvestdirect.

A couple of questions for those who have taken delivery of physical silver coins/bars:

1) I see coininvestdirect add VAT. Does this mean there are no additional import duty charges for those in UK?

2) What is your exit strategy? With goldmoney its a simple click of the mouse but if you have taken delivery how do you intend to sell? Ebay fees are outrageous. And spreads to sell back look equally large IMO.

Thanks

I've got to buy more of this stuff.

My thoughts exactly G0ldfinger! It seems ridiculously cheap compared to platinum.

I realise:

1) it is primarily an industrial metal

2) demand from auto use has been hammered

3) platinum is preferred after the whole debacle where Russia with held supply and almost killed some auto makers as prices spiked to $1000

However, even taking all this in to consideration it looks a bargain. Especially as new uses are likely due to its unique properties regarding hydrogen absorption.

Does anyone have any figures on how much it costs to mine per oz?

Im guessing it is now uneconomical to mine this stuff at current prices.

Perhaps we can move to the palladium thread to keep it on topic?

I have thought about a goldmoney account. However, the purchase cots, sell costs and storagecosts as a % are greater than bullion vault, although bullion vault you can only buy gold. Also if gold and silver do go to the moon over the next 5-10 years you will be smacked for a load of capital gains tax. Surely it is better to invest in gold and silver through a bullion backed etf within an isa?

 

I know that some people say there is a risk that these etfs don't have sufficient bullion backing, but I would think the risk (if quanitified) of that is smaller than the certainty of the capital gains tax of an investment outside of an isa? Or are you looking to invest more than the annual limits of an isa?

 

Just trying to understand the merits of a bullion account in case i have missed something.

 

Ta

My reason for going with Goldmoney:

1) You can swap between gold and silver and thus play the gold silver ratio. Can't do this via bullionvault.

2) The ETFs that I have seen available listed on the London Stock Exchange are backed by AIG. Not something I am comfortable with.

3) Goldmoney allow you to take physical deliver of as little as 100g gold and collect in person at Bairds in London

4) This site has a ncie deal going with goldmoney where you get 6 months free storage

5) Goldmoney let you hold cash in a variety of currencies.

it was me who offered the grudge bet and a&k bottled it declined

 

proceeds to chariteeee an' all

Aw that's a pity.

I eat my own cooking.

Yes i heard that people talk their book and have websites to promote their positions too.

Excuse me for interrupting your cat fight

But did you ever get that silver grudge bet set up?

ZEAL Report: Silver/Gold Ratio

Never entirely sure what to make of this type of thing. These guys have written up a report on their top 12 silver mining companies and I think this is effectively a preamble/advert to encourage you to buy it.

However, there are a few interesting charts and observations though. With the current ratio at 65 and the recent average being 55 silver would appear undervalued relative to gold. However, as can be seen from the report by adrian ash, from bullion vault, silver doesn't always follow gold up in time of crisis such as we have now. In fact I seem to recall Bob Hoye stating in his latest howe street interview

that the ratio may even get to the 85 extremes again.

Personally im some what more inclined to be in the Morgan/(Bubb?) camp and think silver will see a pull back here before a big move towards the end of this year/beginning of next.

In terms of putting my money where my mouth is im pretty much following marc fabers advice of using gold and silver (via goldmoney) as a savings account. Every month I buy what ever my left over GBP will get me. An imminent lump sum of cash will also be averaged in.

If your case is so good it will speak for itself or does it only work when talked up?

Goodness me its all getting rather "handbags at dawn" round here isn't it

Great to have opposing views from folks who are clearly passionate though.

Did the grudge bet over silver get set up?

How are wages going to rise to enable higher prices to result in buying?

 

Less buying means less demand means less money to pay higher wages.

 

If people see inflation there has to be a mechanism for it. If money is not spent there can be none of this 'inflation is always a monetary phenonema' thing to drive prices higher. Will the government buy all products of all firms in all of the world?

If your currency collapses relative to the nations you import goods from you get high inflation (by that i mean cost of goods goes up). This happens regardless of the fact that people are spending less, wages cut and high unemployment. Just look at Iceland.

Is it fair to say the losses in gold are a result of currencies strengthening, rather than gold loosing ground? If so what the hell has GBP got to be happy about... Anyhow, I'm just seeing this as yet another opportunity to buy with both hands. Any thoughts where the floor is in GBP?

Im in the "this is a buying opertunity" camp too. As far as how low can/will gold go in terms of GBP my current thinking is we saw a low of $700 last october. IF and thats a massive if we get that low again it will be as a result of a strengthening USD. Which could take GBP back down to 1.37USD easily IMHO. That would put the floor at around £510. So from here a downside risk of around 10%. Given the fundamentals and my current situation I could easily ride out a 10% fall from here.

Goldmoney account good to go and a plan to average in from here over the next 8 weeks in both gold and silver.

How much to allocate to each tho? Silver is wildly volatile so will perhaps go 70 gold/30 silver

My 9.99 was just because if it can fall from 21 to 8.47 in such a very short period then volatility is probably going to be there in the future too and it was only at 8.47 a few months ago when deflation was a higher priority than now, but as the market correction wears off, if it does, then deflation will be back again on the radar for more people and probably a little more entrenched into peoples minds.

 

But i cant really see why silver should be today a precious metal since other metals now rank along with gold as precious i would have thought. Silver today seems like an industrial metal to me. And its use in photography is going to be history soon?

For those holding GBP there might not be too much downside risk starting to average in here even if we were to go to (IMHO) such insanely cheap prices as 10USD. My thinking is that a fall in the price of silver would be coincident with a rise in the strength of the USD.

This could see GBP dropping back down to 1.37USD.

Which would mean silver would be 10/1.37 = 7.30GBP/oz

So the downside risk from current levels (8.59GBP/oz) is only around 16%... in such volatile times and given what i believe to be the strong fundamentals for silver over the medium to long term this is not too bad.

SLW taking a beating today. Mistimed my trade on this one getting out at $8 and missing out on a cool 30% move. If we see $8 again (which is looking quite possible) im buying back in. Just got try and remain disciplined enough to wait for the price to come to me than jump in too early.

Hoping we get to below £8/oz on physical. Though averaging in from here over the next 2 months is highly tempting.

Thanks. Interesting... It's videos and controversy like this that will make people realise gold and silver are literally hard currency. When this picks up momentum that's when I think we will see the exodus to PM's that some many of us on here think is coming.

Yep great video. Thanks for posting bazzer.

I think you are exactly right warpig, this type of video set against the back drop of everything else, could be the trigger to make PMs go main stream. I really dont like conspiracy theories but it is certainly very suspicious that his youtube account got suspended after posting the video. Maybe the PTB also realise that this type of video could be the trigger for the average man on the street to see that the USD is doomed? Or is that too fanciful?

I totally view gold/silver as hard currency now whereas a year ago i would not. In fact I believe they will show themselves to be the hardest and strongest of all the currencies. I thought hard about how to diversify my cash holdings. Thinking about converting some GBP to EUR, USD, CAD, AUS etc... but I have come to the conclusion they are ALL flawed. I dont really want to be left holding any of them.

This debate has been raging in my mind for some time now. The proceeds from the sale of my house went in to a 1 year fixed rate bond at 7.05% and is due to mature in August. In retrospect it would have been a better move to just buy gold. Looks like we are getting a second chance here though with gold back down at £570 and could even see it nudge very slightly lower.

This is a little self-centered (so feel free to ignore or delete if this is bad form) but I would also be interested to know what others would do with my imminent cash pile if they were in my shoes. Im 33, married, first child due September, both working in what appear to be stable and reasonable paying jobs, no outstanding debts and the following holdings:

Gold: 10oz

Silver: 600oz

2000USD

2000CAD

78000GBP

Need to keep some cash to fund paternity leave.

My goal is to have as small a mortgage as possible but in no rush to buy. Selling at start 2008 and holding off the purchase of a new place is still probably the biggest step towards this but would love to get your ideas on what could be done with pounds sterling cash in the meantime.

Thanks all. This site is true gem!

Dr Bubb raised a really interesting point about whether it still made sense to "keep score" in US dollars. Perhaps we are moving to a time where really we should be "keeping score" in terms of physical gold? Sorry I can't find the original post so feel free to move this post to somewhere it makes more sense.

Would be interested to know how many on here now keep score in terms of how much gold or silver they have.

How many here "book profits" in to physical gold or silver?

Perhaps someone could start a poll if there is sufficient interest?

Big moves over the last couple of months gold down to £575 from £700

And £ up 30cents against the dollar - a 20% move!

I suspect that this cannot be sustained and a reversal is surely on the cards given that the UK is in even worse shape than the US. Got a large amount of cash (in pounds sterling) coming my way and thinking now is the time start moving that in to gold and perhaps some gold mining stocks. I know even the gold bulls in here have not been buying gold of late. Do any of you now think this could be the time to accumulate again especially if you are holding pounds?

A work colleague has been in the mortgage/finance industry in the UK for the past 20 years. I overheard him say that it would soon be a good time to buy UK property. I suggested there was much further falls to come and was interested to see what he made of the two graphs frizzers recently posted in moneyweek:

http://www.moneyweek.com/investments/prope...hart-14664.aspx

He asked me where I thought we were and i said "in the bull trap".

He replied "nah we are at capitulation. In 9-12 months time we will be through despair."

This guy is pretty smart and worked in the mortgage industry right the way through the last housing crash so i dont feel i can just dismiss it out of hand. However, it does seem wildly optimistic.

I mentioned that job losses havent even really begun (especially here in edinburgh), wages were stagnant if not falling, rents were cheaper than mortgages - to which there wasnt much of a reply beyond the job losses wont be as dramatic as folks think as they will mostly be through voluntary redundancy and retirements. But these jobs are not coming back! I exclaimed! Where are the jobs for those who want to get their first house! No reply to that one....

Anyone else out there believe we are going through capitulation just now and will be at the bottom of despair in 9-12 months? If so why? I am genuinely interested to hear any contrary voices.

is there a good place to buy thalers, or do you just get them at random places?

Just picked one up from ebay for £6.50.

Only a few pence above its melt value.

Nice looking coin too.

Thanks for pointing me in that direction bonobo

Silver headed for it's biggest daily gain in almost 30 years. Best since 1979.

Price Change % time

SILVER FUTURE (USD/t oz.) 13.550 1.615 13.53 15:24

 

http://www.bloomberg.com/apps/news?pid=206...fer=commodities

Silver futures for May delivery rose $1.585, or 13 percent, to $13.52 an ounce on the Comex, the highest jump for a most- active contract since Dec. 31, 1979. The metal has risen 20 percent this year.

 

Just thought I'd bump the thread on such a momentous day.

Sold my position in SLW on todays jump.

Rode this stock from $11 to $2.58 then back up to $8.12

Wow this is volatile! However, due to the collapse in £ sterling i have actually broken even. Thanks GB! LOL

Im guessing that this gap up may get filled over the next week or so.

If it is I might be tempted to buy back in. Anyone else holding/trading SLW?

The majority of people do not accept your view that gold is money.

My experience says different. My father runs a shop and will happily barter with customers. On one occasion this involved payment in gold! Rare certainly but it does happen and my father was delighted!

More recently an email came round at work from someone within the company saying they would like to buy any scrap or unwanted gold jewelery. I then over heard a group of colleagues saying and i quote:

"got any gold?! that's like asking can i have your unwanted money!"

They certainly understood that gold is money. The public seem more clued up on the nature of gold than i thought.

Silver is being used in deodorants !

 

http://www.nivea.co.uk/products/show/26978

Just bought a can today mostly for the novelty factor and to wind up my friends/family who think I am totally obsessed with PMs. But I have to say it is pretty nice I just hope I dont get Argyria!

http://en.wikipedia.org/wiki/Argyria

Just call me SilverFinger!

Agreed; it's not my sentiment!

I bought last week; I have about as much faith in sterling to protect my little wealth as a chocolate fireguard.

 

EDIT: i think what i was trying to say was that it might be a technical traders viewpoint.

Apols chris ct, hope my comment didnt come across as a dig at you.

Looks like we are both of the same opinion.

In this climate i just dont have the nerve to trade my gold.

I am firmly in the accumulate what you can every month camp here.

In 18 months time I hope to be in the position to be watching the panic buying safely in the knowledge I already have sufficient insurance.

Interesting sentiment: tallys a little with Bubb's statement in the call this morning that there are no buyers left in Gold. It might be time now to sit it out and wait for the panic buying of gold to start. Maybe 18months from now, we will see that panic.

Doesn't look to me as if there are no buyers left in gold. I get paid in Sterling and now convert whatever I have left over at the end of the month in to gold and silver regardless of the price. So chalk me up as a buyer! For the most part it looks to me like gold is now in strong hands that wont part with it at current prices.

And in any case why wait for the panic to buy!?

Surely the first rule of panic is to panic first?

Thanks for the reassurance. I cant see me bailing out at a massive loss and will ride out the lows if they get worse. I will buy more for sure on the lows but I could have bought allot more had I not spent it higher up! Even though the spot price is lower than when I bought, the real price is higher, apart from BV.

Like dr strangelove im going to be riding this one all the way down too

There is talk in the media of a new currency game, possibly debasing, possible bretton-woods esque.

There is also talk about preventing "windfall profits" for holders of gold.

 

How might that work?

How could they stop me selling at market price something I physically own and they don't know about?

Who are "they" anyway?

If they are talking about some kind of 30's style confiscation of peoples gold I just don't see how that could work both in terms of the mechanics and the political ramifications. Loads of people own gold - just think of all those wedding and engagement rings! Imagine trying to confiscate those from people. The uproar would be phenomenal.

If the proposal were to be one of "ok you can keep the gold you own but if you ever want to sell it you have to go through some government agency" - i still see this a a massive undertaking that would require huge international co-operation. Would we end up stopping people at the airport who wear wedding bands and other gold jewelery in case they are off to some country that lets them sell gold on the open market?

Admittedly this is all small fry in physical gold quantity terms but again i feel that huge numbers of people would be in uproar over this.