I have known and dealt with this man for 15 years and he is a good friend. He does millions of $ per year in just Au and Ag.


Here are some interesting parts of the conversation.

- Gold/Silver dealers (wholesalers) have been told that silver eagles will become plentiful next year with weekly releases. Gold will be less available.

- He believes the premium on silver eagles could shrink as a result of their increased availability. This will be due to the whoesalers needing to turn over the higher volume.

- Not many private sellers right now in large or small quantities.

- His business is booming. Fewer transactions but much larger transactions. More total $ volume on many fewer transactions.

- Earlier in the year as gold and silver were running up in Feb/Mar, it was a lot of smaller transactions.

With silver moving below $9 last month I took a distribution on my IRA of a few 1,000 bars to take advantage of the low price. I was going to trade them for silver eagles. But I am holding off to see if the premium goes down on the eagles.

I must confess I will be curious to see if the premiums do go down. In my mind the premiums represent value and the too low crimex price. I have not expected the premiums to go down until the price of silver went up. After all, all forms of silver in the 1 to 10 ounce weights carry high premiums right now.

It would be win-win if he price of silver went WAY up and the Ag eagle premium went down to something reasonable.

We’ll see......