Platinum: Now You See It, Now You Don't

 

Did you see it at tulving.com? I saw it, and was still contemplating whether I should pay $129 premium over spot price, or more than 15% over spot. This morning waking up, it’s ALL gone. Incredible. Minimum order was about $5K dollar, and it’s all gone in less than 24 hours, not to mention that I believe it was available mostly just during market non-trading hours.

If you don’t believe me on how well physical metals are selling, just monitor tulving.com. By the way, another sold-out item was 100 ounce silver bars, trading $1.49 over spot, by a no-name refiner, called Ohio Precious Metals. I didn’t want to buy it because of the name. Still, things are getting sold out left and right.

Gold is coming down again today. I would buy more near $700, and load up if it ever gets to $660. Don’t think it would happen, but never say never.

Comments

[fatcat:]

Go back and read Frugals Hindenburg Omen post and read the comments,if you want a good laugh.Frugal called for Dow 10,000 and we burst right through that...good call..

2008 Oct 31 09:16 AM

[OctoberFaith:]

huh?

2008 Nov 01 04:13 AM

[bearfund:]

I am also monitoring the true spot price of gold via eBay (the only place one normally finds anything on offer at any price) and noticed over the past week that although the COMEX 400 oz price fell, the 1 oz price actually rose by about $20 and supply continued to tighten. The market for survival gold is now completely decoupled from the speculators' market as the arbitrage mechanisms (the mints) refuse to increase production. The eBay prices are of course distorted by the live.com promotion but the relative day-to-day movement of the premium is not.

It is somewhat surprising that one of the large banks has not stepped in to profit from this opportunity. I would expect that if an impeccable bank like USB contracted with a top-notch refiner to strike 22kt 1 oz coins bearing the bank's mark and a reasonably attractive design that they would likely sell in the wholesale market for at least $25-30 over spot and possibly more. I base this on the fact that CNI is offering spot + $20 for PAMP Suisse bars and has none of that product in stock; Krugerrands, normally the lowest-premium government-guaranteed coins, are bid at spot + $40 with occasional limited stock on hand offered at spot + $80. A run of 100,000 coins should sell out quickly and would basically be a free $1m in profit and a bunch of free positive publicity and advertising to the bank for doing nothing but financing the run (which would cost them virtually nothing). Surely even big banks ought to be interested in a free million bucks.

2008 Nov 01 12:36 PM

[OctoberFaith:]

epiphany - a sudden dawning of the way things really are.

2008 Nov 02 02:47 AM