Silver - $27 going to Zero! Call your boss..beg for job back

[knibloe]

Can anyone explain this to me? Why such a fast drop and recovery?

Also, I missed it. I called my brother and told him about the drop and that he should order, and never did it myself. I figured it would stay down for a while. I am sitting on a fair amount of liquid capital and could have ordered big.

Anyone have any thoughts on what the future might bring?

[ZenOps]

Volatility bigtime. I'm a little peeved that I bought on wednesday instead of friday.

My LCS doesn't even open on monday, and in the west - the timezone difference makes a huge difference as well. They don't open until right around noon, because I'm pretty sure the LCS owner knows that he can always open shop early unannounced, but is not obligated to.

[highroller4321]

Don't believe all the "out of stock" claims. That term is often used by dealers who have stock for sale, but maybe they paid 13x face and don't want to sell it at the current market price. If you went and offered to pay even 18-20x face, I imagine you could get everything you are looking for, even though you might have to contact several dealers to do so. And at that price you could pick up a ton of it on eBay.

Out of stock claims from your local dealer vrs out of stock claims by the major companies are a big difference.

Your lcs will tell you out of stock because they have skin in the game. He may have bought for 13x and its now only worth 12x.

The big boys don't ever care what the price of silver is. If they have 1000 ounces in hand they go ahead and short the market 1000 ounces. If the price goes down they make money on the shorts and if the price goes up they make money on the physical. All in all they break even on the spot price and only work of the margins of the premiums they charge. If they say out of stock there is a very high percent chance that they are truly out of stock.

When silver hit $9 in Nov 2008 the supply was virtually dried up and the wait times were 3-5 months on most bullion items. Judging by what we saw last night the supply isn't dried up but there certainly is a question if they can keep up with demand.

[93_Confirmed]

There's no way the silver market (let alone any market) would tank and recover up 10% so quickly with virtually no global news impacting said market. And no, the Swiss referendum doesn't impact this - there would have to be something much more substantial to cause that kind of swing.

[beauanderos]

There's no way the silver market (let alone any market) would tank and recover up 10% so quickly with virtually no global news impacting said market. And no, the Swiss referendum doesn't impact this - there would have to be something much more substantial to cause that kind of swing.

short-covering rally. Lots of big money was short

[barrytrot]

Man that was the Babe Ruth of swings over the last 24 hours or so!

I'm hoping for up now even though I'm mostly out again!

[68Camaro]

There's no way the silver market (let alone any market) would tank and recover up 10% so quickly with virtually no global news impacting said market. And no, the Swiss referendum doesn't impact this - there would have to be something much more substantial to cause that kind of swing.

short-covering rally. Lots of big money was short

So what manner of well heeled idiot who has access to hundreds of millions would sell at 14.5 and 1150 into a short covering rally that just hours later would prove that they gave up 15% of their money?

[Engineer]

Yellen, Draghi, et al

[highroller4321]

There's no way the silver market (let alone any market) would tank and recover up 10% so quickly with virtually no global news impacting said market. And no, the Swiss referendum doesn't impact this - there would have to be something much more substantial to cause that kind of swing.

short-covering rally. Lots of big money was short

So what manner of well heeled idiot who has access to hundreds of millions would sell at 14.5 and 1150 into a short covering rally that just hours later would prove that they gave up 15% of their money?

My speculation is that they sold at $16+ and their short contact stated they would buy on Dec 1st. They made a huge push in the middle of the night and got rid of their shorts at $15.00 or below right at midnight or slightly after. Once their shorts were covered they let the market recover in its "normal cycle". They made $1+ per ounce for manipulating the market.

[jacer333]

Steady taper off here this evening...hopefully it continues as I plan to swoop in at the last minute of the APMEX black friday sale and load up on Libertads w/ free shipping. Provident looks to be offering the main bullion 1 oz'ers at slightly lower premium with their sale, but doesn't offer free shipping unless you tack on an overpriced numismatic coin.

[highroller4321]

Steady taper off here this evening...hopefully it continues as I plan to swoop in at the last minute of the APMEX black friday sale and load up on Libertads w/ free shipping. Provident looks to be offering the main bullion 1 oz'ers at slightly lower premium with their sale, but doesn't offer free shipping unless you tack on an overpriced numismatic coin.

Provident had free shipping all weekend.

[Cu Penny Hoarder]

Steady taper off here this evening...hopefully it continues as I plan to swoop in at the last minute of the APMEX black friday sale and load up on Libertads w/ free shipping. Provident looks to be offering the main bullion 1 oz'ers at slightly lower premium with their sale, but doesn't offer free shipping unless you tack on an overpriced numismatic coin.

Provident had free shipping all weekend.

APMEX has free shipping the rest of this month.

http://www.apmex.com/holidayfreeshipping/?_campaign=12022014holidayfreeshipping

Good time to load up on heavy silver. I'm pissed at myself I didn't catch that $14.42 low

[highroller4321]

Just got off the phone with provident. Very professional and more than willing to help. I guess they are expecting a 10-15 business day on all 10oz bars. The nice lady said the producers are having a hard time keeping up with demand.


I don't think there is a major crunch or a limited stock but its nice to see investment demand very high.

[Recyclersteve]

Steady taper off here this evening...hopefully it continues... Good time to load up on heavy silver. I'm pissed at myself I didn't catch that $14.42 low

How do you catch a low that happens in the middle of the night when dealers and markets are closed?

[highroller4321]

How do you catch a low that happens in the middle of the night when dealers and markets are closed?

The Nikkei opens Sunday at 5pm PST followed by the Shanghai an hour later and the Hang Seng 2 hours later. These markets start moving the spot prices around as soon as they open.

Since the big dealers are hedged their prices on their website automatically adjust to the spot price. When silver "crashed" for 3 hours on Sunday night you could buy from any of the big online dealers at the lower prices.

[Cu Penny Hoarder]

How do you catch a low that happens in the middle of the night when dealers and markets are closed?

I guess you didn't know that PMs prices track the futures market prices and bullion dealers adjust prices accordingly.

[Engineer]

How do you catch a low that happens in the middle of the night when dealers and markets are closed?

Order online from Provident, Apmex, etc.

[beauanderos]

wow... has sentiment really become SO poor that a $30 up gold day and 80 cents up silver day rate no mention?

[68Camaro]

wow... has sentiment really become SO poor that a $30 up gold day and 80 cents up silver day rate no mention?

It's not that. Rather some of us work for a living and can't check spot every few seconds! I hadn't seen the rise until your post. But for those of us on "notify me" - when you post here, we get the email for your post, so thanks!

Actually I have very mixed feelings. Having it go up justifies my actions of the recent past, but it also inhibits my further future action. I was hoping for another 4-6 months of $15-$16 silver and $1150-1200 gold, but having it go up is the second best thing to cheap metal, so it's win-win either way.

[reddirtcoins]

I'm still sticking with the downward trend... this bump won't last long.

[brian0918]

I'm still sticking with the downward trend... this bump won't last long.

I hope you're right!

[PennysaverCP]

Lately- They giveth, then taketh away. I agree with 68 Camaro though. It justifies past purchases somewhat but limits future purchases if it goes up too quick.

[ZenOps]

I get the feeling it will be back down soon.

Oil has been dropping like a rock, and silver usually tracks with it eventually.

[johnbrickner]

33 pages of running commentary (including those of JFF) regarding the price of silver covering the last 20 months. I'm willing to go out on a limb and claim this one will go in the archives.

[Treetop]

I still like reading the comments here and follow info on silver and the economy when I have the time. I havent actually looked up the spot price of silver more then half a dozen times in the last year or more. the times I did look it up, was just a curiousity becaus eI was about to buy some as money became available. The fundamentals imo havent changed. If Im wrong oh well, atleast my shiny tokens have cool pictures.