Coin Shop Owner Says People are SELLING Their Gold - A Sellback SURGE?

and it's very difficult for a lot of people to separate emotion from making rational decisions you know as you said the fomo I don't want to miss out God I saw on the news that gold had an all-time high dang it I don't own any I should go out and buy some he had almost a thousand silver rounds and then he pulls out of his pocket four tubes of and when it hit the glass it made a terrible noise he said the hell you are and he stormed out the price of gold is continuing to push over that all-time high of over $2,100 per ounce and many people are excited and buying gold today but not everybody this coin shop owner that we are speaking with today says that many many people are coming into his shop and selling while gold prices are high how is that affecting the market and premiums well we're going to find out right now are you subscribed yet don't forget to go down below and make sure you are by clicking like And subscribe there is a lot going on this week gold and silver prices have been moving up but even more importantly gold has hit an all-time high now the other day I did a video calling coin shops to to find out what they were actually selling 1 oz gold coins for but when I asked Josh what the sentiment in his store was he said that he was worried a lot of people might sell Josh I gave it a couple of days after that text to see what happened do me a favor and tell me what's been going on in your shop what is the sentiment what have people have been saying and have people been selling yes yes and yes um you know the sentiment as I mentioned in that text message you asked me how are people feeling about the high price in gold uh I said some are disappointed uh some are excited um you know those that are disappointed are those that are trying to continue to stack and maybe didn't have enough finances or monetary backing to add as much to their stack at lower prices um so they're a little frustrated that Gold's touched an all-time high now but on the other hand uh those that have been holding gold in their stack waiting for a certain price point to liquidate those are the people that are excited so um you know today's Wednesday uh just in the Monday and Tuesday days in my shop I had several people call pre-arrange come in and liquidate gold I also had several people come in and buy gold for the first time in their life when it was at an all-time high and that's a phenomenon that always happens it's so predictable as Metals charge up and especially gold lately uh touching an all-time high several times you're going to get the those people that get excited about it for the first time oh wow Gold's at an all-time high maybe I should go buy some not necessarily the best strategy but it happens a lot it's very predictable and sure enough just yesterday on Tuesday I had three different people come in the shop and they told me that they're buying gold for the first time and all three walked out with gold so interesting at least they owned some gold but they did choose the all-time high time up to this point to pick some up yeah I mean it's it's a nominal all-time high because obviously there's other points in history where adjusted for inflation it's higher than what it is today but still it's it's interesting to see like you had said I think there's this there's this element of fomo and in a perfect example and and you know me I'm not a crypto guy but I have dabbled in it to you know buy and sell here and there when I thought I could you know time the market and try and make some extra money that I can then put in gold and silver but you know the the same thing I see with crypto as as when crypto was down like you know when it was in the 15 20K area for like the last you know before this last runup nobody ever commented on my channel not once about Bitcoin or you should be buying Bitcoin not gold and silver but sure enough as you see it go up 40 50 60 every single video I get four or five people commenting gold is stupid buy Bitcoin so on and so forth and I think it's just right you know answer this for me and I don't want to take this whole conversation this is me talking to you but there's an element of fomo there people see it going up and they want to catch that wave on the way up and to me that's really not the right way to do it and it doesn't matter if it's crypto or gold or silver I prefer to buy it when it's down I think when it's not in the news when people aren't really excited about it that's usually the best time to buy I don't know let me know what you think though yeah I 100% agree the problem is we're humans and we're emotional and it's very difficult for a lot of people to separate emotion from making rational decisions not just in buying crypto or gold or silver but in life in general and as I said earlier I see it all the time in the shop people are coming in B based on emotion you know as you said the fomo I don't want to miss out God I saw on the news that gold hit an alltime high dang it I don't own any I should go out and buy some you know if you actually analyze what you just said to yourself you could probably easily talk yourself out of buying it at an all-time high but there again I had a lot of traffic in here people buying gold and not just those particular first timers that told me they don't own any gold and they're excited here's my budget what can I buy I had other people coming in buying gold also one thing I didn't touch on much um was the selling you know I mentioned in that text to you that you flashed in your previous video that I think we're on the cusp of a large sell back surge well we are um it's not just happening to me but a lot of my dealer friends as well so uh for instance you know just within the last week um this was before gold touched the intraday or the closing day I should say alltime high the first time on Friday um just in the last week the last seven days I have bought nearly $100,000 worth of metal across the counter probably 75% of it has been gold wow so there's been a lot of people that kind of bought and held and maybe I don't know if they had a specific number in mind but but as you know it hit certain thresholds that was their trigger to liquidate and uh all sorts of different things have trickled into the shop I mean I've I bought uh two tubes of 1 o gold Canadian maple leaves I had an individual come in uh first they called me and asked if I bought silver I said well sure of course and I gave him a quote and he said well I have about 400 silver rounds well he shows up well actually I have more than I thought I brought gold too oh well do you have it with said yeah it's in the car so I saidwell how much do you have said well it'll take a couple trips I gave him a cart he wielded it out wield it back in he had almost a thousand silver rounds which no problem we had already agreed on a price I bought his silver rounds and uh and then he pulls out of his pocket four tubes of one1 ounce gold branas so he had 100 one10 ounce gold coins in his pocket that I wasn't prepared to buy at that point because I thought he was just coming in with silver so those are just a couple instances so and that's just in the last seven days so and I know my shop isn't alone uh speaking with other dealer friends speaking with Dave from coin Huskers um he's in the Omaha area he's had other coin dealers coming to him and dumping excess product uh mostly gold and quite frankly I shipped a box of gold to Dave as well to free up some cash because I'm buying more than I want to have in inventory because even though I did say gold is selling it's coming in quicker than it's going out so a lot of people are in that situation where we're getting inundated with material or product and it's mostly gold because there again the fomo it's the sexy thing it's in the news so people are realizing wow I bought this gold for, 1300 I can cash out for 21 so there's people selling so what that's doing to premiums it's having a negative effect so buyback premiums have really really dipped um not just what I'm paying but what anybody's paying and we can talk more about that if you have questions well sure I mean a couple of things first off uh just from a you know I need to know this perspective I've owned a full tube of one10 ounce gold Eagles I've never owned a tube of one10 ounce brania so those come in tubes of 25 they do it I'd never seen a full tube of those either it was unusual but yeah they're tubes of 25 okay well let's get on to the important thing though I just had to ask that question all right so um so first things first like like you had said you know there are people buying but a lot of people selling so you could basically say not everybody's selling but everybody's selling right so yeah you know when we talk about people selling gold and silver uh when they bring and this is I think what a lot of people don't understand in the physical market and I would love for you to touch on this when when you have a lot of people bringing in physical gold and silver to coin shops and selling it the coin shops people are like oh well the spot price should be going down right well no because those physical sales don't really affect the paper Market they do not affect the comex so like you said what is being affected though is premiums so let me ask you this you have a lot of people selling gold and silver you said yeah the one guy sell you a th000 ounces of silver you had the two or the four tubes of 10,000 panas you had the two tubes of 1 oz gold Maples Josh the thing that people love about you on this channel and this is why I have you on all the time is you're one of the most honest coin dealers I've ever talked to what did you buy those for people love it because you are not afraid to tell people what you actually pay what did you what were you able to pay for those yeah I'm always very transparent um well and bear in mind everybody these are prices this week or within the last week and as I've said buyback prices have went down uh the Maple Leafs I actually bought at 98 and a half% % so that's one and a half% back of spot wow and how did I arrive at that number well first of all if somebody brings in 20 gold Maple Leafs I'm probably not going to hold all those in the store uh just to sell them onesies and two's it might take me two months unless somebody wants to come in with a big order so I have to start checking around well what are the wholesalers paying the wholesalers were paying 99% so I bought them at 98 and a half percent I think I paid and this was at the time this was about a week ago I paid 25 so you can reverse engineer the math gold was maybe at 250 or something like that so but they were very happy with the price um went ahead and bought it and uh coincidentally I liquidated all of those as well immediately just I found some local buyers that I actually sold uh to them um what I paid for it and I've done that a few other times to some of my bigger buyers essentially they help buy the deal and uh they love that because they're able to get cheap bullion yeah we've done that with big silver orders as well um so yeah so that was an easy one you know I just and like I said it was some very good customers and I I kind of use them to help buy bigger deals sometimes because they like to do that um what else did you ask me about silver rounds the silver rounds I paid a 25 cents back of spots now there's only two times in my life that I can remember that I've ever bought large amounts of silver UND spot because I always pay aggressively at least I feel I do and compared to some numbers I hear from other people that just confirms what I just said but having said that um I had a big deal and I think we talked about it it was like 4,000 ounces come in maybe a month ago um well I had to liquidate a lot of that um so I figured I better check with wholesalers what wholesalers were paying and I think they were paying about 25 cents back at spot so that's what I bought these silver rounds at 25 cents backup spot Which is less than I could order them from a wholesaler but somebody walks in and dumps a th000 ounces on you depends on cash flow well can I sit on these and try to sell them or do I need to liquidate them to get cash back in the account so that always plays into it and then the one10 ounce gold branas I paid overs spot uh because they're smaller they're fractional I believe it was two and a half% overs spot so I paid 102.5 per I forget what the exact number was that I paid but that was the percentage so back of spot on 1 o gold and silver um and quantity like that uh but a little bit overs spot on fractional gold and that's really typical based on what I know other dealers are paying right now that's what you're going to see in the market there's actually opportunity for me to buy from other dealers excess inventory now I'm talking gold mostly under spot yeah so what did they if they're going to sell it to me one or two% under spot what did they pay for it did they pay 95% they pay 92% so that's what I mean BuyBacks are tanking the the price you're going to get for your metal in this type of Market is not as much as you normally would if things were more normal I would say because there's so many people that are selling yeah and and it's funny to say that a couple points I want to bring up SL ask uh first when you say that you know you had to pay back a spot for silver it's totally understandable I think what a lot of people you know in the comments you know that I see on some of my other videos don't realize is you know they're like why why would coin shops even sell gold and silver if if they don't believe in money well you know like we have said you and I have actually discussed this I mean you can't pay your bills with gold and silver right now so and and you have all these people bringing in this gold and silver and they want cash as well and you don't have an infinite amount your name's not Elon Musk right so yeah of course you have to liquidate yeah you have to liquidate some of it so you go out these wholesalers and you have to base what you're buying for on what they're paying so that you can move it otherwise you're going to be sitting on it with a bunch of gold and silver and no cash in a market where there's most more sellers than buyers right exactly yep yeah so I think I think a lot of people don't understand that uh in this market I think the other thing I wanted to bring up is you had talked about what you paid back as spot for silver rounds I think that's fair I've seen some instances I was watching this YouTube video a while ago I'm not going to say who it was I'm not going to say the channel I'm not going to say anything other than when the market was really strong when we had premiums on Silver Eagles north of $112 an ounce I watched in a YouTube video a coin dealer pay $20 a piece for a tu of Silver Eagles so I'm not even kidding I cannot believe that the Creator put that in the video you know what I mean I'm like why did why would you not cut that out if you like your dealer why would you not cut the because you know why would you not do that but I know just blew my mind but yeah that's exactly what happened so it it's just you know that's I think that's why people love you Josh is you're just so honest about the market and you're you're not afraid to say yeah I had to pay back a spot you know a lot of people would be like oh yeah I paid I paid a dollar of a spot for those one oce rounds but you you know you're honest about it and I love that so thank you yeah well absolutely I'm happy to get the information out there to people so they understand um you know I know there's a lot of uh people in our profession that get a bad rap you know there's most and almost all dealers that I've ever had any interactions with in my career which is about 10 years now 10 years this month um have been positive there's a lot of great honest people in this profession the problem is there's a few not so great ones and they kind of sour it and spoil it for everybody else they they spoil the people's opinions on a coin dealer you can make the same argument about a lawyer or a doctor or but it's really unfortunate that there are some bad apples out there but most dealers are good but it always pays to get a second opinion and we've talked about this many times so if you're in a situation where you need to sell or you're looking to buy shop around it's very important so yeah absolutely I I agree 100 perc uh you know let me ask you this I mean you know gold sitting at all-time highs we don't give Financial advice on this channel but what would you what are you doing are you waiting to see what happens with gold are you adding more to your stack or you just kind of doing the dealer thing right now uh in terms of gold I'm just buying and selling it in the shop I truly have not added gold to my own personal stack for over a year okay I'm just stacking silver so that's a personal preference um yeah but granted there's been opportunities where I've bought cheap gold in the shop or you know cheap relative compared to spot and by cheap I mean under wholesale where I could have added cheaply to my stack but I'd rather turn that into silver and add it to the stack instead so just a personal opinion um I I do want to touch on something quick oh yeah please and we we've we've talked about it before in videos and others have as well but it's important to bring this up um I had an individual come in the shop yesterday they had called the day before on Monday showed up Tuesday right when I first opened I'd never seen the person before um older gentleman he wanted to sell some gold first when I talked to him on the phone he said 20 ounces of gold then he changed it to 10 uh well then he showed up and he only had eight ounces so he said yeah I want to sell some gold okay no problem so I grabbed my Sigma metalytics precious metal verifier it's been on this channel before and you're familiar with what those are and your viewers probably are too he started questioning me well what's that so I explained what the machine was and while it was booting up and calibrating we're engaging in small talk he starts pulling the gold out of his pockets and he starts putting it on my glass display case well the first thing he pulled out was a 1o uh gold pamp Swiss bar on an assay card and when it hit the glass it made a terrible noise I mean it did not sound like gold it had like a a tinny ping to it didn't say anything watched him take out the rest of the stuff he laid out a gold buffalo still in the cellophane you know how the US men put out gold buffalo they were in like the cellophane holders yep um he had gold he had one ounce gold Eagles he had some certified half ounce gold Eagles so the first thing I test is his gold bar and we're just talking while I'm doing it right away comes comes out bad I mean the the arrows are in the red it's it's not a good authentic gold bar as I had suspected based on the sound it made when it hit my glass so I said well where did you get this said oh I bought it from and then he mentioned the the other coin shop in Min not which is now closed I bought it from so and so 10 years ago in mine out here I said oh okay well gold shouldn't sound like this so I took it off my verifier kind of clanked it on the glass like he did when he first set it down he said oh the sound doesn't matter I said well it actually does but here I'll show you so I put it back on the verifier flipped it around and explain to him how the machine reads it and and that it's bad he did not want to hear that he said so you're not going to buy that one I said no I mean I can't buy fakes I wouldn't be interested in it he said well if you're not going to buy that one you're not going to buy any of these swoops them all up and storms out and I said sir I'm trying to help you he said the hell you are and he stormed out so I'm like wow and I was so nice to him right explaining him like they said how the machine works so here's my take on it I don't think he knowingly bought a fake gold bar I have a feeling the dealer that sold it to him probably also did not know it was fake because he didn't have the testing equipment that I have so be aware everyone where you're buying from if your coin shop can't test the gold they're selling you you better have a lot of faith and trust in them because mistakes can happen but this isn't the first time I've had fake gold come in the shop I have fakes come in weekly it seems like lately and it's just crazy but as I said this guy was very adate that's I must be wrong and my machine is lying and it's it's real and so needless to say I did not buy those 8 ounces of gold yeah which is fine um I'm in a position where I would happily have bought those from him but as I just said I don't need the gold right now I mean I'm just you know I can maybe flip it and wholesale it and make a hundred bucks but I have to outlay you know 17 grand to make a hundred bucks is it worth it at that point right no but I would have done it but um there again I I'm here to Prov provide a service but he didn't want my services so it was frustrating yeah that's unfortunate and I feel bad for the guy cuz if you were right and he really didn't knowingly you know buy that gold bar fake then he's going to be really disappointed when he goes elsewhere and here's the same thing so exactly yeah and and I had told him and I I called other you know people that do this in my region at least to kind of warn them and neither of them even buy gold bars because they don't have the equipment right so it I don't know where he's going to sell them but yeah I'm good luck to him I suppose I'm not a big fan of gold bars even especially the ones in the assay because outside of a sigma or an xra F gun you don't even really have a good way to test them I mean right at least with eagles and and cougaran and Maples and Buffalos you know they have a specific diameter and thickness they have a very specific sound so there's a bunch of different ways you could verify those are real that you you know unfortunately could not do with those bars so I tend to stay away from those myself I don't know yeah me too I don't own a gold bar in my stack of either yeah that you know it's and it's not like it's not like the premium difference between a gold bar and say a 1 o gold Maple is Major I mean it's it exists but it's it's it's it's what 20 bucks maybe difference 25 yeah I was going to say around a percent maybe a percent and a half depending it's not a lot yeah for that kind of money I'd rather just have the actual you know Maple at that point you know but H unfortunate well Josh I think uh I think we'll probably cut it off here but I think we'll probably have you on a little bit sooner than we normally do if depending on what the market does because if it continues to ride up as of this morning it's still up it's not down uh you know there could be a lot of exciting stuff happening in the world of gold and silver over the next few weeks so if I have Josh on a little bit quicker than the next two weeks guys you'll know why I'm not saying I will but you'll know why if I do we shall see for sure uh guys do me a favor though as always I just want to let you know and you probably already know this but Josh has his own YouTube channel and it's a fan fantastic one I'm going to put a link for it down below he owns a coin shop in Min not North Dakota called Min not Coin and Bullion make sure you check him out and Josh thank you again for joining me I really appreciate it thank you all so much it's always a pleasure absolutely anytime we'll see you soon

Channel: Silver Seeker

Views: 39,595

Keywords: Rare Coins, Coins Worth Money, Valuable Coins, Gold Coins, Gold Stacking, Coin Shop Owner, Gold Price, Gold All-Time High, All-Time High, Gold Price Going Up, Gold Price 2024, coin shop, gold price today, gold coins, precious metals stacking, coin dealer, gold bullion, gold stacking, investing in gold, gold and silver, coin shop gold, selling gold, selling gold coins

Id: 0bh1WNy-_8I

Length: 23min 13sec (1393 seconds)

Published: Wed Mar 06 2024