Johnson Matthey Bullion 1000 oz Silver Bar 13" x 4-3/4" x 3-1/2"
I recently spied this behemoth, weighing 72 lbs, costing $55 to ship, with a price tag of $28,500 USD on eBay! Now that may sound like a lot of money, but at $29.40 an ounce the bar is priced $900 below melt. The deal sounds pretty unbelievable to any physical silver buyer nowadays when premiums are the rule.
So, should you bite the big one and buy? Heck, NO!
Firstly, there's a reason why the seller is selling at a discount even in this super hot market. How many buyers could there possibly be at any one time for such an enormous silver bar? Numbers of buyers equal competition, and competition equals higher prices for a seller. You'll find hoards of buyers all day long for your junk silver coins, American Silver Eagles, and small bars and rounds because virtually anyone can afford them. However, how many people can fork over $28,500 in one pop? Definitely, not as many.
Secondly, in hyperinflation you want to hold only as much cash as you need to buy supplies that day as currency is devalued rapidly. A few coins or rounds are ideal for this purpose, especially since stores, pawn shops, and coin shops will accept or exchange these items for quick cash readily. However, try plunking this log on a convenience store counter or even in a small coin shop and see what happens!
Thirdly, gold and silver coins, rounds, and bars were developed for ease of portability in their roles as mediums of exchange. Unless you're a bodybuilder champ, you won't be carrying this thing around effortlessly!
My best advice here is to keep your gold and silver items small and uniform to make exchanges into cash easy and hassle-free. The 1000 ounce bar above may seem like a steal at the below melt price, but as the saying goes, "there's no such thing as a free lunch!"
PS. NO ONE BOUGHT THE BAR ON eBay!
Time is running out fast! Hyperinflation seems unavoidable as fiat paper money is being printed as fast as the US presses can run. To protect your wealth and your family, buy gold and silver now from these top companies (below):Rick
Is it possible that a buyer for something like this would have plans to melt it down for other uses? A metal refinery or something?
ReplyDeleteIt's hard to speculate, as no one actually bid on the giant bar during the eBay auction. For me, that says a lot. The bar had been selling below melt, yet even eBay couldn't get this thing sold!
ReplyDelete