Good time to buy gold/silver???

[Curly Bill]

I know we have some financial types on here that are a lot more knowledgeable about our financial situation than myself, so I ask you this: Is it a good time to invest in either gold or silver? Why or why not?

Disclosure: I bought three 5oz. silver bars from Silvertowne just now, but I bought them as much because they're cool than as an investment, though I like the investment angle because obviously silver has been and will again be much higher.

So...I guess my question is this: If I were thinking of buying more as an investment, is now the time to jump in, or does anyone think silver or gold (gold is also an option) will go lower?

TIA

[8timechamps]

NEVER try to time any investment.

Honestly, I don't think there's ever a bad time to buy gold/silver, but just be smart about how much you put into those investments. Like anything, you don't want to put all of your eggs in one basket.

[Curly Bill]

NEVER try to time any investment.

Honestly, I don't think there's ever a bad time to buy gold/silver, but just be smart about how much you put into those investments. Like anything, you don't want to put all of your eggs in one basket.

Oh yeah, I'd never put the major part of my nest egg into metals, but I might buy a fair sum. As long as the prices continue to stay what I consider reasonable I'll prolly buy some along the way.

[CK Sooner]

Buy low - sell high. Metals are a great way to diversify your investments. I bought a ton of silver/gold with a summer's salary about three years ago. Look's bad now, but it will rebound of course. I don't plan on selling until later in life. It makes a great emergency fund also.

[SanJoaquinSooner]

companies have a revenue stream and can turn a profit and pay dividends. Gold and silver just lie there doing nothing.

They're a currency and bear market hedge, good for 5% or 10% of your nest egg.

[Curly Bill]

companies have a revenue stream and can turn a profit and pay dividends. Gold and silver just lie there doing nothing.

They're a currency and bear market hedge, good for 5% or 10% of your nest egg.

About 10% was what I was thinking.

[Sooner Sig Ep]

[/QUOTE]

About 10% was what I was thinking.[/QUOTE]

I agree that this about the right amount and also that its primarily an asset class used to hedge during a market downturn. Most analysts are actually predicting gold to go lower this year but they're often wrong. If you want a more liquid option, I still think GLD or SLV offer decent exposure with more liquidity. You can also sell a few calls against the position to offset some downside or sideways trading.

[SoonerorLater]

Both gold and silver could go lower but IMO not a lot lower as mining would become prohibitive cost-wise thus tightening supply. I believe physical gold and silver is a buy at this point but I would edge in slowly. Not crazy about gold/silver ETFs

My preferred exposure right now is semi-collectible silver coins. ie 1934-1935 Peace Silver Dollars. These have a numismatic value and helps put a bit of a floor under the investment even if metal prices drop. I also like to add in a few Maple Leafs and Silver Eagles.

[Jacie]

The current spot gold price is $1246 Per Ounce as of Fri, Jan 10, 2014, 4:49 pm EST.

The current spot silver price is $20.13 Per Ounce as of Fri, Jan 10, 2014, 4:50 pm EST.

[hawaii 5-0]

What was the price last year about this time?

Just curious....


5-0

[Jacie]

What was the price last year about this time?

Gold was $1675/oz. last year at this time.

Silver was $30.50/oz.

[SoonerorLater]

What was the price last year about this time?

Just curious....


5-0

Around the high 20's. Link to historical silver prices below. As you can see silver isn't a commodity prone to moderation. It's important to know that when you are talking about silver you are talking about a huge disconnect between the price of physical gold and ETFs like SLV. While SLV price roughly mirrors the spot price of silver the retail cost of non-numismatic physical silver will cost you maybe 15-20% premium delivered to your doorstep. Of that premium maybe 3-5% is is sunk in the shipping and handling.


http://www.aboutinflation.com/silver-vs-inflation

[BigTip]

Don't buy metal derivatives. The banks and the government are supressing the price of the metals by printing these instruments.
Buy physical metals to hold.
The laws of economics say that the price of metals should soar eventually.

You heard about Germany wanting the gold they own that is "stored" here returned to Germany? They are estimating that it will take upwards of five years to gather enough physical gold to do this. A lot of gold is paper gold. When that market collapses, gold will shoot up.

There is also no reason that silver is so cheap, but it is, for the same reason. Think about silver. Not only is it a precious metal for holding and trading, but it has myriad industrial uses these days. It is being consumed in other words. Why would the price go down on a limited commodity that is being depleted? Manipulation, pure and simple.

[Curly Bill]

Yeah, if I'm gonna buy gold or silver I want it in-hand, none of that buy it and not see it stuff.

[yermom]

so how do you buy and sell it without making someone in the middle rich in the process?

[Curly Bill]

so how do you buy and sell it without making someone in the middle rich in the process?

As a capitalist (a crazy concept now in this here USA) why would I care if someone in the middle get's rich as long as I'm getting good returns myself? Besides that I didn't pay an exorbitant sum for it.

[diverdog]

I know we have some financial types on here that are a lot more knowledgeable about our financial situation than myself, so I ask you this: Is it a good time to invest in either gold or silver? Why or why not?

Disclosure: I bought three 5oz. silver bars from Silvertowne just now, but I bought them as much because they're cool than as an investment, though I like the investment angle because obviously silver has been and will again be much higher.

So...I guess my question is this: If I were thinking of buying more as an investment, is now the time to jump in, or does anyone think silver or gold (gold is also an option) will go lower?

TIA

There are times gold is a good investment but for the most part it is not a very good investment. When I was at OU in the early 80's gold was at (roughly) $700 an ounce and then it crashed. Now it is at $1200 30 years later. Not a good return. I remember a guy saying an ounce of gold has always been priced so you can buy a very good suit.

http://goldprice.org/images/monthly_dollar.gif

Gold will go to $10.000 an ounce. The question is when.

[SoonerorLater]

I look at both gold and silver as a long term inflation hedge. More of an insurance. It's certainly not a linear hedge. Silly as it may seem, I try to look at silver as over or undervalued by a hamburger standard. In 1964 the last year 90% silver coins were minted you could buy a regular hamburger (no cheese) for about $.25. Today its takes about 30% to buy a similar hamburger for the silver value of that same quarter leading me to believe silver is relatively under priced. The high twenties it seems about right from a historical perspective.

Like I said it's not linear so we could see further price erosion but I think the high teens low twenties is a pretty good place to start accumulation. Caveat. Silver has made a few runs downward and seems to have a floor around 19. Looking at the trendline if silver falls through that floor I would wait on the sidelines for a while.

[hawaii 5-0]

I went to an Estate auction last year. I didn't stay long as buyers were going crazy with their bidding.

I noticed upstairs they had several real silver bars and coins that were gonna be bid on. Never found out what they went for but it was cool to see them in person.

5-0

[Jacie]

so how do you buy and sell it without making someone in the middle rich in the process?

Coin dealers also sell silver and gold bullion so go to a shop and ask to see some.

An ounce of silver, it might be a round or a bar, can be had for less than $30 right now. The price per ounce will go down as the quantity you purchase goes up so consider investing $100-150 and get 5 ounces or more.

If it is gold bullion you are interested in, you can buy some for the same money as silver, you will just have a lot less of it to hold. A .5 gram bar of gold costs about the same as an ounce of silver.

[yermom]

my issue is that dealers mark it up on both ends, buying and selling. you have to have a pretty big change to make any money that way.

[8timechamps]

my issue is that dealers mark it up on both ends, buying and selling. you have to have a pretty big change to make any money that way.

That's true of any investment. If someone can find an investment that only allows the investor the profit, then I want to know about it so I can point my clients in that direction.


The dealers should be allowed to make a living on it (whether precious metals, or equities). That's how the system lives.

[Curly Bill]

Got my 3 bars of silver today. They're so cute! I'm ready to buy more.

[olevetonahill]

Got my 3 bars of silver today. They're so cute! I'm ready to buy more.

Keep em in the same drawer and maybe they will breed.:very_drunk:

[yermom]

That's true of any investment. If someone can find an investment that only allows the investor the profit, then I want to know about it so I can point my clients in that direction.


The dealers should be allowed to make a living on it (whether precious metals, or equities). That's how the system lives.

somewhere out there is a person that wants to sell some gold. why should i pay a middle man?

[olevetonahill]

somewhere out there is a person that wants to sell some gold. why should i pay a middle man?

You dont have to. Ive got some Gold Ill sell you at 1/2 what those Brokers are asking.

[Curly Bill]

Keep em in the same drawer and maybe they will breed.:very_drunk:

Must be why they come sealed in plastic so they don't breed in shipping???

[olevetonahill]

Must be why they come sealed in plastic so they don't breed in shipping???

Thats a Condom, Strip em Bare so they can Make ya rich .

[Curly Bill]

Thats a Condom, Strip em Bare so they can Make ya rich .

Whoooooo!!! I'm gonna be rich!!

Shhhhhhh....Don't tell Obammy.

[olevetonahill]

Whoooooo!!! I'm gonna be rich!!

Shhhhhhh....Don't tell Obammy.

That ****er already knows, He been spyin on ya since before ya was borned!

[BigTip]

I went to an Estate auction last year. I didn't stay long as buyers were going crazy with their bidding.

I noticed upstairs they had several real silver bars and coins that were gonna be bid on. Never found out what they went for but it was cool to see them in person.

5-0

I would think in this age of having the internet at your finger tips where ever you go, you won't be getting any bargains at auctions like this. Unless nobody else brought enough cash or checks.

[8timechamps]

somewhere out there is a person that wants to sell some gold. why should i pay a middle man?

To find that person.

Sure, you could find him/her yourself and cut out the middle man, but is that what you really want to do?

I can spends hours/days every time I want to buy a car, and find the one person that has the exact car I'm looking for (and is willing to sell it, and be local), but I'd rather pay someone to find the car I want. It's about convenience.

[yermom]

i get that, but it just really seemed like robbery the last time i looked at it

[Jacie]

Best buy in bullion is silver coins, not the new ones but the pre-1965 stuff.

Doesn't matter if it is half dollars, quarters or dimes so long as it is 90% silver coinage.

Has the lowest markup.

Currently, $10 face value of U.S. silver coins goes for $160 or so.

Good luck finding that person who is going to sell you some so cheap you can turn around and make an instant profit.

[Curly Bill]

Bought 95oz of silver bars this morning. Didn't realize the total was 95 til after I'd ordered, or I would have ordered another 5oz.

[olevetonahill]

Bought 95oz of silver bars this morning. Didn't realize the total was 95 til after I'd ordered, or I would have ordered another 5oz.

Shoulda Bot that Brick then LOL
Oh and in answer of yer Original question? I reckon it is a Good time to buy :very_drunk:

[Curly Bill]

Shoulda Bot that Brick then LOL
Oh and in answer of yer Original question? I reckon it is a Good time to buy :very_drunk:

The 100oz brick woulda been way freaking cool, but I bought bars in 10oz and 5oz to provide more divisibility.

I may get me one of those 100oz bricks yet though!

[olevetonahill]

The 100oz brick woulda been way freaking cool, but I bought bars in 10oz and 5oz to provide more divisibility.

I may get me one of those 100oz bricks yet though!

Buy ya a heavy Gold chain to wear it with LOL

[Curly Bill]

Buy ya a heavy Gold chain to wear it with LOL

Hellz yeah! So's I can wear it when I's go up in da club!

[olevetonahill]

Hellz yeah! So's I can wear it when I's go up in da club!

Heh