The COMEX Did it again? Yes, and that corrupt outfit needs to be shut down. What they did, was to raise the rates again, changing their rules, and making it very difficult for anyone but the very richest to buy futures contracts for both gold and silver. This rule changes, like the former one which drove the price of silver down from $49 to $40, has done it again, to $30, and already up $2.50 as people snap up a bargain. The rules changed for gold as well, driving it down, and it’s up $60 already from its low. Will it go all the way back up again? Of course, because the presses are still running, and there is no limit as to how high any tangible can go in dollar prices.
When it is impossible for a little guy or even a moderately wealthy person to buy a futures contract in gold and silver, because of rule changes which make the contracts cost a lot more, those having contracts are forced out, which floods the market with thousands, if not millions of ounces of PAPER gold and silver, not real gold and silver. It happened last week with the COMEX rule changes. The flooding of the market with non-extant, paper gold and silver, naturally forces prices down of physical. Have thousands and millions of ounces of real silver and gold been sold? Absolutely not. Friday and Monday have been among the busiest in history of Colorado Gold, and not a single sale. All are buyers at the current bargain prices.
Spot prices of metals are reached by the marketplace. Remember, for every buyer, there has to be a seller. When futures contracts for PAPER gold and silver go high, contract owners sell and take their profits, which floods the markets with paper gold and silver, making prices of physical and paper go down. When they go down, people say, “Look how low it is, let’s buy into it again.,” and prices go up. A normal cycle, which, in times of trillions of un-backed paper euros, yen, yaun, dollars, etc, the final result is always higher prices for everything in paper monies.
Which brings me to another subject. Colorado Gold is not a coin shop, with thousands of ounces of gold in our safes. We never even handle it when you order. When you order from us, our supplier, A-Mark, orders from mints to fill our orders. Our supplier has to pay, and we have to pay. This is not a coin shop, but a BROKERAGE, which allows you to buy metals at very reasonable prices. We order from our supplier, in our name, for you, and we are responsible for paying for it. If you order something from us, you must pay us for it, so we can pay our supplier, so they can ship it to you. Our charges for our service are extremely reasonable. If you order a stock, the stock broker buys it in his name for you, and he is responsible for paying for it. If you bought a suit and had it altered to fit you, and didn’t pay for it, the suit seller would be at a loss. The same is true if you sell gold and silver. We sell it to our supplier, who then sells it to someone else, and WE HAVE TO TURN IT IN. If you sell gold and silver to us, you must ship it, because we have committed ourselves for you, to turn it in, and if you don’t, we have to buy it to turn it in, and this can cost a lot of money if you fail to do what you ordered on the phone with us. When you call and order, WE TRUST YOU. Many firms won’t deal with you unless you fill out a contract, or make a huge deposit. We trust you when you call us and say you want to buy or sell, and 99.99% of the time our trust is rewarded by your doing as you said you would.
When markets take a dive, like last week, some will have ordered, and lower prices make them at a temporary loss, which is not out fault. We bought for you, and we have to pay for what you ordered, at the price you ordered. We can’t change what’s been done, and it’s that simple. We have no crystal ball, and no one could have known in advance what the COMEX would do. All we can do is assure you that the presses are running, and all tangibles will go up in dollar prices, without fail, and this includes gold and silver! Please keep us friendly and easy to do business with by fulfilling your telephone orders. A few bad apples may force us to change our policies.
Why can’t you buy fewer than 500 Silver Eagles or Silver Maple Leafs any more? Because they come from the Mint in sealed boxes of 500, and when the boxes are broken open to fill orders of 100, as an example, the remaining 400 are very difficult to sell, and sometimes have gotten misplaced, which is very costly. Why is there a $50 small order charge for less than ten ounces of gold or 500 ounces of silver? Because the shippers of gold and silver, Brinks, are highly paid workers, working under video cameras, and packing, storing, and counting are expensive. Our supplier says they cannot make a profit on less than ten ounces of gold or 500 ounces of silver without that charge, and everyone needs to make a profit or they won’t be around very long. We’re still cheaper than most, if not all, and our A Plus rating the the Better Business Bureau will always be there. Google on any other dealer, and you will usually find a host of letters complaining about being cheated or mistreated. Google Colorado Gold and there isn’t one single complaint!