US Mint Runs Out Of Silver On Same Day Price Of Silver Plunges To 2015 Lows

Tyler Durden's picture

In the aftermath of the latest breakout of the Greek crisis, Europeans across the continent, not just in Greece (even though with capital controls, potential deposit confiscation and currency devaluation they would have benefited by far the most), scrambled to buy physical gold and silver.

This is what the UK Royal Mint said a week ago, "During June, we experienced twice the expected demand for Sovereign bullion coins from our customers based in Greece."

Other dealers had comparable experiences: “Most of our common gold coins are sold out,” Daniel Marburger, a director of Frankfurt-based CoinInvest.com, said by phone. “When people learned that the Greek banks will be closed, they started to think that it may not be such a bad idea to have some money in gold.”

GoldCore, which buys and sells bullion, reported coin and bar demand increased “significantly” on Monday. Sales to U.K. and Ireland today are about three times the average level for the past three Mondays, according to an e-mailed statement from the Dublin-based firm.

BullionVault, which operates the largest online physical gold trading platform, reported a jump in sales during the first half of this year, a sign of a broader increase.

Earlier today, we learned that the latest place that hit by the precious metal scramble was the US itself, when we learned that the US mint had suspended Silver Eagle sales as a result of a spike in demand, with our source advising that "all bullion distributors (like A-Mark, Dillon Gage, CNT, etc) were already raising premiums."

And while the US Mint rarely issues press releases to confirm such adverse matters, moments ago this was confirmed by Bloomberg:

  • U.S. MINT SAYS 2015 AMERICAN EAGLE SILVER COINS SOLD OUT

When will the Mint restock and resume sales?

  • U.S. MINT PLANS TO RESUME SILVER COIN SALES IN TWO WEEKS

In other words, no orders until August.

And while the US mint halting sales of silver (or gold) during times of peak demand is nothing new, what is surprising is that as the chart below of monthly silver American Eagle sales, demand in recent months has hardly been off the charts.

Which makes one wonder: just what is the inventory buffer at the mint if a modest 1.6 million ounces of silver sold in one week can deplete the Mint's planned holdings for one entire month.

And another question: in just what supply/demand universe does such an explicit confirmation of a surge in demand for silver result in a plunge in the price of spot silver to its lowest level of the year!?

One wonders if Citigroup, and its soaring silver derivative exposure, may have anything to do with this...

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nope-1004's picture

GS: "no one is buying this dip".

lol

LoneStarHog's picture

It Is Time, Texas!...Calling All Texas Patriots...Operation Texas> www.OpTexas.org < Join Awake Like-Minded Texans & Help Awaken Other Texans

Operation Texas has a plethora of information, including understanding the silver/gold markets and why one MUST hold both.

Measure Your Wealth In Ounces, Not Dollars.

OrangeJews's picture

Just picked up a tube of 2014's and 2 tubes of 2012's.  

Pinto Currency's picture

 

 

Physical gold and silver shortage shown by price backwardation:

https://monetary-metals.com/silver-market-change-report-5-july-2015/

 

Shortage leads to collapsing prices. 

When it's all gone, they'll be giving it away for free.

The Keynesian version.

 

Pinto Currency's picture

 

 

In the convoluted world of Keynes.

green sheen's picture

You really can blame everything on you know who
https://youtu.be/8l_YrPvP7YA

SuperVinci's picture

SILVER FTW!!!!!!!!!!!!!!!!!!!!!!!!!!!!

Save_America1st's picture

the Mint knows well ahead of time what their supply is.  They must have known over a month ago at what point they were going to run out (or lie that they've actually run out). 

Given that, I'm sure JP Morgan also knows when the Mint is going to run out as they just may be the ones who are buying up most of the silver Eagles anyway.

Today's slam must not be a coincidence with this news then.

JPM dumped 1 Billion in paper on the market to front-run the news about the Mint being "out" of silver Eagles in order to supress price and scare everyone away from taking the real silver prices to the moon.

Just a theory...

Xibalba's picture

Buy all the phizz you want!   NONE OF IT IS RECORDED on those paper 'markets'.  Paper is a policy tool....Phizz is a vote with your feet.  Choose wisely...

Boris Alatovkrap's picture

Da! Da! You are buy physical. Gold and is silver too expensive, so buy copper!

ZeroIntelligence's picture

Honest question: How do you realize material profit from a buy/hold PM trade?  If you're hedging inflation, shouldn't you buy TIPS/short USD?  If you're hedging apocalypse, shouldn't you buy something useful like PB or C2H5OH?

strannick's picture

Don't vote.

Dont write your Congressman.

Real rebels buy physs silver

 

Pairadimes's picture

The death of the paper market for PMs is a major milestone on the way to the reset. It marks the very end of the ability of the Fed and its owners to manipulate the price of money as measured in fiat currency.

As physical dries up at these low, manipulated prices, more and more people are going to realize that they will never take delivery at these paper prices, and paper will start to be discounted due to low physical availability and increasing selling pressure in favor of cash.

I don't see an alternative to the thing acting like a huge compressed spring that is finally released. When it happens, it will release tremendous downward pressure on the value of the dollar and other fiat.

The idiots at the Fed have managed to bottle up a huge amount of volatility in PMs with their manipulation. It is not if, but when the lid comes off.

 

Supernova Born's picture

Paper and phyical have gone their separate ways.

APMEX is charging over 25% premiums on silver.

WTF.

Mr. Ed's picture

The reason Ag price is falling - too simple to grasp: someone is selling a shitload of PHYSICAL silver! You just don't know who, why or where ;-)

Mr. Ed's picture

I'm sorry, but downvotes won't change a thing. -:)

johngaltfla's picture

They didn't "run out of silver" that's the big lie.

The idiots bought the blanks at well over $18 per oz. and create the myth that they ran out. Sales are stopped automatically when the market price drops 20% or more below the price of blanks to try to stop the losses from getting too severe.

Government efficiency as usual.

Mr. Ed's picture

And, if they wait a little longer, they'll have blanks to burn at a REALLY low price!

BaBaBouy's picture

# 101: Amazing Fucking NYC HFT BOTS???

Keep Big Stocks/USD Flying, KILL Everything Else ===> Especially PM's...

Simple Enough???

BaBaBouy's picture

No Doubt Bouffet Is Having A Fine Fuck Of A Time These Days...

strannick's picture

Don't vote.

Dont write your Congressman.

Real rebels buy phyzz silver

 

Mark of Zerro's picture

You're not doing it for inflation - you are buying physical metals to hedge against lack of confidence in the markets / gov't / ...

 

Xibalba's picture

The best hedge against 'inflation' is debt:  Borrow now and pay it back in 'lesser value' units.  Hence why they have 'inflation targets'.  Hyper-inflation, or failure of the fiat, is a totally different scenario...

 

Phizz is a parallel currency, one with tangible value, centuries of history to observe, and the benefit of being misunderstood by the 'banking' class (under allocated).     

Creepy A. Cracker's picture

Unsecured debt.  Otherwise, good luck if/when you can't repay.

Captain Debtcrash's picture

Good rule of thumb, don’t invest in insolvent entities.  Litmus test for insolvency is simply if an entity did not have access to loans or a printing press could they meet their near term obligations.  If the answer is no, then don’t buy their debt.  So I'd say don't touch tips.  

Buying PM's is not hedging again apocalypse, it is a superior asset to hold during monetary shift, and it appears as if we are getting close to a necessary monetary shift.  Discussions on banning cash, and Negative rates are a hint.  They have happened before and are often tumultuous.  1912-1915, 1929-1933, 1942-1946, 1968-1972.  No, not the end of the world just a new world monetary system, really isn't all that rare at all.  The result, that can be tough to guess but students of history know it hasn't caused an apocalypse in the past. 

 

Icelandicsaga...............................................'s picture

Boris .. where have you been . .we have missed you tovarich .. my gold silver dealer does sell copper rounds.. coins .. commemorative St. Gaudens and Don't Tread on Me among others .. nice for collections .... Boris .. do not leave again .. you always make my day.

Boris Alatovkrap's picture

Boris is prefer lead round to copper round, but maybe copper tip round is you are suggestion?

Fleendar the Magnificent's picture

Ja, copper is goot, however, you must be careful with it. It's expensive to buy copper bullion rounds, and while they look great? They turn green FAST.

While I do have about 200 ounces of copper bullion, I save all pre-1981 US pennies. They are 95% copper - 5% zinc and is the cheapest way to get government issued copper. People will be more inclined to trade for copper pennies because they know that the US government is very specific about metallurgy. We also know that the government is culling them out to melt and sell the metal as they churn out the new zinc penny that is copper washed.

Four chan's picture

we are truely through the looking glass my fellow stackers, get the real while its on sale.

Captain Debtcrash's picture

Are you in lala land, copper is dependent on growth in the economy, I don't see that anytime soon considering China and Europe.  Stick with Gold and silver.

Boris Alatovkrap's picture

You are astute smart! Boris is observing of exact phenomenom, only is find high purity copper ore in urban area of prosperous development. Copper indeed is dependent for growth of economy.

Ajax_USB_Port_Repair_Service_'s picture

..."find high purity copper ore in urban area... "  = gutters and downspouts

Icelandicsaga...............................................'s picture

Boris . the new people ZH have no appreciation for farce or sarcasm ./ your great gift is lost on them . but keep it up anyway .. jus tto watch morons be morons.

Mr. Hyde's picture

I want my 5 minutes back you Jerry's Kid

tmosley's picture

2008 redux. Paper tp zero.

Better have that phys.

AE911Truth's picture

No Borris,

Buying Physical Silver will take out the criminal Banksters.

Buying copper will not.

 

Boris Alatovkrap's picture

But Boris is not rarely finding silver. Silver mine operation is expensive because of thick cement wall of rebar enforcement and sometime is security guard.

Boris Alatovkrap's picture

Boris is nearly 15,000 m* of high quality copper ore storage, everyone, you are buy copper, Boris is sell!

(*various 6 guage to 16 gauage, you pick!) 

kaiserhoff's picture

The polite term is "suburban mining", Boris.