Will Bullion Dealers Hold Back Product Until Prices Climb?

[Know Common Cents]

In checking my favorite bullion sites tonight in the aftermath of getting shanked today, I began to wonder whether the mega-dealers as well as the mom-and-pops are going to part with their inventory for the duration of these prices. I really think one of two things will happen:

They'll claim that they have no inventory to sell as it's been so popular or the margins over spot they charge will increase by a multiplier of 2 or 3. I have to think how much I'd be willing to part with at a loss for at least newly-acquired inventory from the past week. Probably not. Always a crap shoot, though, since the POG and the POS could fall even further. Tough spot to be in no matter how you slice it.

I believe that PM market will have some defined direction by Friday's Fed meeting and the knowledge there'll be or not be a QE3 headed our way. As for me, I'm looking for Ag bargains. Hoping that some sellers are spooked and will let loose out of fear. I'm only here to help them sleep better at night........................

[beauanderos]

Did you check out the Group Buy deal? There's still some left at 26X face

[Oakair]

Did you check out the Group Buy deal? There's still some left at 26X face

saving me from shameless plugging :lol...love it, thanks man!

[natsb88]

I won't hold back inventory, I just won't reduce prices. Dealers aren't "increasing premiums," they just aren't dropping prices as fast as the paper contracts are falling. Paper and physical are two separate markets. One is subject to sketchy Wall Street maneuvers, and one is based on supply and demand...