Hi all,
I’ve been working, playing on the computer and such. Decided I
need to order stock. *WOW!! Was I surprised. What’s going
on with silver prices? I heard a rumor (?) (sometime in December,
I think) that there was some hanky panky going on with the silver
market. Was that true and does anyone know if and when silver
might get back to normal? I’ll run out soon and $7 is outta sight
and outta my budget.
Thanks,
Nancy
Story I heard the other day on TV is that Warren Buffet has just
bought up (is still buying?) silver or silver futures or something.
Shades of Bunker Hunt.
Roy (Jess)
I saw a bit on the news the other day that some guy in the States
has hoarded some obscene amount of silver (saw some pictures of it
all…gasp!). This apparently happened to a greater degree
twenty years ago, and silver went up dramatically in price then
too. Does anyone know how long something like this can last?
Tobey Robinson
Adoremus Creations in Metal
Burnaby, BC, Canada
Nancy: You remember the Hunt Brothers from Texas that bought a big
share of silver just to get the price up. It’s happened again.
Only this time it is Warren Buffet. I think the 3rd richest man in
the world. Don’t look for silver to come down for some time. As
long as he holds 193 million dollars in silver we’re in deep
trouble for the silver jewelry business. Ron Idaho
Many financial analysts have said gold & silver were undervalued
for some time…I bought as much as I could when it was around $4.
This recent rise and the reason it will probably stay high or go
higher is partially due to the fact that Warren Buffet and his
investment group are buying silver like crazy and since November
have bought an amount equal to 20% of the annual world silver
market. Don’t know where it will go from here.
Karen
The rumor I heard was that invester guru, Warren Buffet was
purchasing a major portion of the world’s shares of silver
securities because of the need for the high tech market. This
apparently has driven the prices of silver and is supposed to keep
going up. I don’t think it will be the boon like the 70’s when you
could purchase gold for the outrageous price of $40 a troy ounce.
But stocking on silver now wouldn’t be a bad idea. It certainly is
going to hurt my students’ budgets.
-k
I took a chance and stocked up now. My dad is into the market and
he says he heard an “expert” say that silver may not stop rising
until it gets to $15.00. It went up because some guy decided it was
undervalued and went out and bought a ton of silver, that shot the
price up and got all of the investors interested in it. They are
like little kids, what one wants, they all want…The sad part is
that it screws up the silver prices for those of us that actually
do something constructive with it.
Hope this helps, I wish the outlook were better.
Deb
Midwest USA
Yup, Nancy.
Some Texan billionaire (called something like ‘Bucket’) is trying
to corner the world market in silver and so control the price, as
happened in the early eighties. According to the Financial Times
here, it looks as if it is only a question of his stamina as to
whether or not he can do it. If he succeeds, then the price of
silver will never be ‘normal’ in terms of the laws of supply and
demand, but will be priced according to his whim. It stinks, I know.
Yours, – Dauvit Alexander, Glasgow, Scotland.
Hi. Warren Buffet bought 20% of the world’s yearly silver output
recently and there have been many other investors following suit.
The prices today were $8+ spot. Expect the prices to rise rapidly
due to the bulk purchasing. It doesn’t make sense but I think the
Hunt Brothers have been whispering in Buffet’s ear. Better
purchase as much stock as you can at this time and aim for at least
50-100 oz for a decent price break. Two-three months from now it
will probably be double what it is today. Hope this explains what
has been happening.
Iris
Baltimore MD
Don’t look for silver to come down for some time. As
long as he holds 193 million dollars in silver we’re in deep
trouble for the silver jewelry business.
This shouldn’t do anything but make silver a little more popular.
I remember a time when gold was $35/oz and another time when gold
was about $850/oz. Neither time was business “hurt”. Overall
business was the same. Business as usual. Just be careful not to
give your stock away under market.
Bruce D. Holmgrain
e-mail: @Bruce_Holmgrain
http://www.knight-hub.com/manmtndense/bhh3.htm
phone:: 703-593-4652
I saw a bit on the news the other day that some guy in the States has hoarded some obscene amount of silver (saw some pictures of it all....gasp!). This apparently happened to a greater degree twenty years ago, and silver went up dramatically in price then too. Does anyone know how long something like this can last?
Yes, as of yesterday he had 20% of the world’s supply. Gasp, gasp,
gasp. When the Hunt brothers did this back in the 70’s silver went
up to $50 an ounce. **gasp… choke… sob… !! I just looked
up the spot at Kitco and it was over $7.
If Buffet causes the same response I guess I’ll be setting stones
in silver spray painted pot metal.
There’s a site I found yesterday that gave all kinds of news
analysis, but I can’t seem to find it again. It didn’t sound as
though most of the analysts expected this to go away anytime soon
and they also seemed to expect gold to rise because of this.
Nancy
Bacliff, Texas Gulf Coast USA
Sure does stink. I was in college when the Hunt Bros. pulled their
little stunt trying to corner the silver market. I lived on
potatoes and rice so I could afford material. Hope this gut loses
his shirt like the Hunt Bros. did.
It is not just someone hoarding that has caused silver to rise in
price. CNBC did an analysis of what is causing the price of silver
to rise and even though a large investor does have some effect on
the market mostly it is a case of supply and demand. up till
recently the existing out of ground supply of silver has off set
the difference between an increased demand and a decreased mining
supply. well that out of ground surplus is almost gone and we are
beginning to see a supply shortage. supply and demand will dictate
the price of silver and when the supply is short the price goes
up, and the supply is short (if my memory serves me correcctly)
about 20/30%. look for the price of silver to continue to rise
though not to the obsene levels the Hunt brothers drove it to.
also keep an eye on CNBC and you will learn more on the silver
market as this rise continues. You might want to consider a loan
or such and do a little hoarding of your own if you are using
silver in your work. a 12-15% rise in silver cost should very
easily off set any interest cost of a loan and if you get a larger
rise in price you make money. Just remember to bill your cost of
material at replacement cost and not what you paid for it. You
have to be a business person as well as an artist. Happy Hoarding.
Frank Houston, Tx.
Hello.
Perhaps this is not Netiquette. Perhaps I am immature (certainly).
But I just need to get this off my chest:
Warren Buffet is a HUGH !!#@*****!!! And I hope he
(unspeakable suggestion.) There. Thanks for your indulgence.
@M3morrell Michigan
Yea, the funny part of it, He took possession of the silver.
Guess he liked looking at all that wealth. Hope he has a strong
floor! Joy
Boy, just when I feel like I am starting to get comfortable with
pricing my work! Does this mean i need to go ahead and start
raising my prices accordingly? The general public allready has a
hard time understanding why handmade silver jewelry can cost so
much.(handwork,designing,labor,labor,labor…) Please share your
thoughts about this.-Carrie Nunes @tnunes Tennessee U.S.A.
I saw a bit on the news the other day that some guy in the States has hoarded some obscene amount of silver (saw some pictures of it all....gasp!). This apparently happened to a greater degree twenty years ago, and silver went up dramatically in price then too. Does anyone know how long something like this can last?
During that period I sold a bag of silver coins for $16.00/ozT to
a dealer! Now, How long CAN this go on?
Marrin Fleet
@Marrin_and_Mary_Dell
Memphis, TN
Sure does stink. I was in college when the Hunt Bros. pulled their little stunt trying to corner the silver market. I lived on potatoes and rice so I could afford material. Hope this gut loses his shirt like the Hunt Bros. did.
The sad thing about the silver price increase is that people will
be tempted to scrap out silverware and hollowware that are worth
far more than their silver content. One person I knew during the
Hunt period spent time rescuing 18th and 19th century hollowware
from the refiners.
During the 1979 price increase, the refiners were backed up for
months rather than weeks. The best we did was $28 an oz for scrap
out. Richard D. Hamilton Martha’s Vineyard USA
Fabricated 14k, 18k, and platinum Jewelry
wax carving, modelmaking, jewelry photography
Guys, I think that you are referring to Bunker Hunt, who cornered
the silver market for a while in the 80’s. Of course he also tried
to corner a lot of land in Kentucky too. Neither worked! Sally
What I’m hearing is that he (Buffet) is not like the Hunt Bros in
the 70’s. He is a pretty shrewd and conservative investor. I’m
also reading that several analysts don’t expect silver to reach the
$50oz price as it did back then. I’ve read two articles that
suggest it will got to about $15 and stay there for awhile,
probably at least 6 months. But this is the market which is always
uncertain and the precious metals market even more uncertain –
who knows. I’m stocking up now.
Nancy
Bacliff, Texas Gulf Coast USA