Mossy wrote:appjoe, would you sell at this big a loss if you did not have to for some reason?
natsb88 wrote:This idea of abandoning a dealer because he is charging $5 over instead of the normal $2 over seems really silly to me. Let's turn it around for a second. Say I'm a dealer that always pays spot for silver. You bought 10 ounces from me on Wednesday for $42. Now that spot has dropped to $31, I give you a call and say "you have to sell me that 10 ounces of silver back now for $31, or I will never buy from you again." That's exactly what you're doing to the dealer.
It seems to me the sense of entitlement in our society has even leached into PM buyers. Some people feel they are "entitled" to buy silver at the paper price, regardless of physical market conditions, and throw a temper tantrum if they don't get their way. That's juvenile behavior, and honestly I'd be happy to wave that type of customer right onto the next dealer, so I could get back to helping customers with legitimate questions and rational thought processes
Grumble grumble...
If spot stays down, physical prices will come down, but not as quickly and not as far. Physical trading requires inventories, real transactions and fund exchanges, shipping and delivery, etc. Stock trades are executed automatically and instantaneously by trigger prices and computer programs. Naturally the physical market is going to lag on dips.
appjoe wrote:Mossy wrote:appjoe, would you sell at this big a loss if you did not have to for some reason?
We are talking about a shop that is in the business of buying and selling. His buy and sell prices are in line with other dealers. As he stated before silver dropped he was buying at $24. and the last 2 days he had a lot of people selling, so I guess he was buying around 17-18 . So how is he selling at a big loss. Today I bought 2 rolls of halves 1- 64 JFK' roll the other mixed Franklins I paid $440 or $22x1 while I was there the dealer must of bought about $100 face and he was paying $18x1 So it was a normal business day. It's his choice if he doesn't want to sell I don't blame him that's his choice. I just said if I was buying from him for a year or more every week, as I have been doing with my dealer here and then when I went in today if he said I'm not selling because of the price drop I would walk out and never do business with him again. Isn't this what we all look for a price drop so we can load up. Now I'm talking about a regular shop that is a full time business not someone that's just doing this to make a few extra dollars. This is the last I'm going to comment on this. I only voiced my opinion nothing personal.
Thogey wrote:Rule?
What Rule?
balz wrote:I don't understand why would one make any difference between any customer.
As appjoe stated, whatever the spot price is, if the coin shop buys at a lesser price and sells at a higher price in the long term he will make a profit.
And there are people selling right now, so if the coin shop buys those bullions and sell them instantly even at spot price + maybe 1-2%, it's still a profit.
Maybe I don't understand how it works, but IMO any rule should be respected in any situation. A 25% drop in silver price should not be a reason to stop selling the goods, no more than the same drop in rice price should make any grocery empty their rice shelves.
balz wrote:I don't understand why would one make any difference between any customer.
As appjoe stated, whatever the spot price is, if the coin shop buys at a lesser price and sells at a higher price in the long term he will make a profit.
And there are people selling right now, so if the coin shop buys those bullions and sell them instantly even at spot price + maybe 1-2%, it's still a profit.
Maybe I don't understand how it works, but IMO any rule should be respected in any situation. A 25% drop in silver price should not be a reason to stop selling the goods, no more than the same drop in rice price should make any grocery empty their rice shelves.
Thogey wrote:Rule?
What Rule?
Rodebaugh wrote:Now folks you don’t have to feed the buzzards flying in and out of your coin shop looking to buy all of your bullion inventory on the dip. But, If I had a costumer that shows up every other Thursday for two years in a row looking to buy the same amount of coin no matter the spot with a constant premium I had set..sure as hell wouldn’t send him on his way. That person is an investment for any coin shop. A guarantied bi-weekly sale that a loss of 10-20 one week would easily be recuperated within the next few. Get my drift......That kind of regulated buyer needs to be kept in rhythm.....don't save a few bones today to screw yourself out of future $100's.
So, Joe I see your point.....and no good dealer will dump on his regulars if he can help it. But any dealer with half a lick of sense will send those "buy um up buzzards" flying on.
And I will add....lets go Mountaineers!!!!!
balz wrote:Thogey wrote:Rule?
What Rule?
If a coin shop says he will buy at spot minus X and sell at spot plus X, he should respect that rule in any situation IMO.
Thogey wrote:balz wrote:Thogey wrote:Rule?
What Rule?
If a coin shop says he will buy at spot minus X and sell at spot plus X, he should respect that rule in any situation IMO.
Nice, but you might be existing in a parallel universe, where there are rules.
Thogey wrote:Economic reality is the rule. This has nothing to do with policy.
I wish it was different but it's not and never will be.
Everyone will persue their own self interest.
natsb88 wrote:It seems to me the sense of entitlement in our society has even leached into PM buyers. Some people feel they are "entitled" to buy silver at the paper price, regardless of physical market conditions, and throw a temper tantrum if they don't get their way. That's juvenile behavior, and honestly I'd be happy to wave that type of customer right onto the next dealer, so I could get back to helping customers with legitimate questions and rational thought processes
Mossy wrote:An advertising slogan came out about 35 or 40 years ago (or longer): "The customer is always right."
This, is not the case.
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