Good info, not heard of any bullion dealers that don’t actively hedge, it’s why we are all investing in previous metals, not to make a profit but at some time in the future get our money back dodging the hidden tax, inflation. As always I appreciate your ‘bullion dealer’ thoughts 😀👍
Oof....It is my understanding that Mexico and other Latin American countries are the biggest mining operations and are getting out of covid restriction so we may have a bit of a market surplus at a time of economic uncertainty so will we have a false sense of smaller values overall? This may be why we did not see spikes in metals when the market was shoved to the side. Timing and manipulation is a trivial thing...
A great insight into the industry but ultimately its not the consumers job or interest to ask a bullion dealer if they are hedging. We are simply looking for the cheapest premium on our purchases. This video seems like a "we are more expensive but theres a reason" type. Which is fine and true but as a consumer its simply who is the cheapest for the same item.
Hmm. What happens if you paid for your bullion but the dealer can’t deliver or if you have an unallocated account. Default risk is small but not insignificant.
@@mregas78 hmm a bullion dealer is the same as any other business in that regard. They sell a product they have to deliver that product. If they dont they will go out of business very fast. Its not on the consumer to worry about that. Just sounds like bullion now trying to create a reason to stand out. Any bullion company thats been around for a decent time will do the same without having to claim is to be a reason to use them.
@@CraveThatCoin What’s wrong with asking the dealer if they hedge or should we just assume they do it? At the end of the day, if a dealer goes bust, it will be the customer that bears the loss for any undelivered bullion, so it’s in the customer’s interest to follow Michael’s advice, not that it guarantees anything. There’s nothing wrong with what Michael said. Some people just enjoy arguing for the sake of it.
@@CraveThatCoin The difference is in almost every other business outside commodities, prices don't fluctuate in such a short period of time. Physical bullion producers and dealers are at the whim of the COMEX futures market which is now in cahoots with their former competitor the LME/LBMA as the CME Group. Price discovery in the spot market is extremely opaque and at times questionable to say the least, due to the limited number of authorised participants and is subject to serious manipulation - as we have already seen in Court actions. These are in my opinion the tip of the iceberg. Why? Because bullion is a political minefield and it is getting worse. Central banks don't want the confidence in their fiat currencies to evaporate, yet that is what holding bullion is for - to hedge the loss of purchasing power in those currencies due to inflation of the money supply and consequential producer and consumer price inflation. The construction industry in Australia is the canary in the coal mine, because it's the first to get that new currency via home loans and consequentially the first to be impacted. Banks have issued far too much ultra-low / zero yielding fixed-rate debt backed by RBA printing in the form of QE and yield curve control. That spurred a massive boom in construction, supply side shortages on top of COVID supply chain issues and a wild spike in the cost of labour in the building trades. Much of that fixed debt is maturing in the next 6-12 months and mortgagees face a rate-hike cliff when those rates reset to the market rate - at least 5.5% or probably more due to central banks already hiking cash rates, yet having no impact on inflation at all. Of course they won't - bond yields are wildly negative in real terms hence still stimulatory. When the global market is finally smashed by the inflation already baked in through a decade of idiotic fiscal and monetary policy, currencies will collapse and bullion will be next to unobtainable. Add the problem of the BRICS currency being backed by commodities and the fact production has been almost entirely outsourced to those countries and there is major threat to the stability of the entire western fiat system. I hope bullion dealers have locked in long dated call options because that will be a force majeure event for many in the business.
I feel like a bullion dealer expert now, thanks for the masterclass Micheal.
Good video....there is a way to avoid any risk Michael talks about - take possession of your bullion....you don't hold it, you don't own it.....
Thanks Michael, that advice and information was much appreciated.
Brilliant advice and information as usual old son. Thanks again for adding to our stacking education.😁👍
Great episode, and excellent information . Thank you Michael
Thanks Michael ... Appreciate the honesty
Thanks Micheal 😉
Awesome video Michael. Thanks.
Good info, not heard of any bullion dealers that don’t actively hedge, it’s why we are all investing in previous metals, not to make a profit but at some time in the future get our money back dodging the hidden tax, inflation. As always I appreciate your ‘bullion dealer’ thoughts 😀👍
You won’t know them for long, that’s for sure!
Great 👍 info , cheers Michael and BN crew ✅💰🇦🇺
Thanks for this.
I'm glad I chose you guys 👍👍👍
Important insight had always wondered about that.
Thanks Mike😊
Interesting. Thanks.
good stuff👍👍👍
I like these educational videos.
I hope this info can inform & help punters make more considerate requests when suggesting from BN a particular bullion line or item.
Disturbing times. Hopefully bullion will be the last resort as a hedge against all collapse.
Hi Michael, Many thanks for passing on your thoughts for all too make a wise decision on investing.
The king is generous , yes I am 👍😂
Did you even mention the building industry?
🥴🥴🥴🥴🥴🥴 why god......
Dear Jebus 🙏 please let me be first on the comments.. ahhhhh men 😘
Oof....It is my understanding that Mexico and other Latin American countries are the biggest mining operations and are getting out of covid restriction so we may have a bit of a market surplus at a time of economic uncertainty so will we have a false sense of smaller values overall? This may be why we did not see spikes in metals when the market was shoved to the side. Timing and manipulation is a trivial thing...
Not quite the same analogy because your metal purchase price may also go down, then you make even more.
Second. 😁
It's only going to get worse before it gets better.
First
First is worst!
@@leinad.s first quenches my thirst 😂 I couldn’t think of anything better
Congratulations Urban Aerials!!
Only because the king allows it , 😂🤣😂
@@BullionNow what about his brothers suburban and rural ariels?
A great insight into the industry but ultimately its not the consumers job or interest to ask a bullion dealer if they are hedging. We are simply looking for the cheapest premium on our purchases.
This video seems like a "we are more expensive but theres a reason" type. Which is fine and true but as a consumer its simply who is the cheapest for the same item.
Hmm. What happens if you paid for your bullion but the dealer can’t deliver or if you have an unallocated account. Default risk is small but not insignificant.
@@mregas78 hmm a bullion dealer is the same as any other business in that regard. They sell a product they have to deliver that product. If they dont they will go out of business very fast.
Its not on the consumer to worry about that. Just sounds like bullion now trying to create a reason to stand out. Any bullion company thats been around for a decent time will do the same without having to claim is to be a reason to use them.
@@CraveThatCoin What’s wrong with asking the dealer if they hedge or should we just assume they do it? At the end of the day, if a dealer goes bust, it will be the customer that bears the loss for any undelivered bullion, so it’s in the customer’s interest to follow Michael’s advice, not that it guarantees anything. There’s nothing wrong with what Michael said. Some people just enjoy arguing for the sake of it.
@@CraveThatCoin The difference is in almost every other business outside commodities, prices don't fluctuate in such a short period of time. Physical bullion producers and dealers are at the whim of the COMEX futures market which is now in cahoots with their former competitor the LME/LBMA as the CME Group.
Price discovery in the spot market is extremely opaque and at times questionable to say the least, due to the limited number of authorised participants and is subject to serious manipulation - as we have already seen in Court actions. These are in my opinion the tip of the iceberg.
Why? Because bullion is a political minefield and it is getting worse. Central banks don't want the confidence in their fiat currencies to evaporate, yet that is what holding bullion is for - to hedge the loss of purchasing power in those currencies due to inflation of the money supply and consequential producer and consumer price inflation.
The construction industry in Australia is the canary in the coal mine, because it's the first to get that new currency via home loans and consequentially the first to be impacted. Banks have issued far too much ultra-low / zero yielding fixed-rate debt backed by RBA printing in the form of QE and yield curve control. That spurred a massive boom in construction, supply side shortages on top of COVID supply chain issues and a wild spike in the cost of labour in the building trades. Much of that fixed debt is maturing in the next 6-12 months and mortgagees face a rate-hike cliff when those rates reset to the market rate - at least 5.5% or probably more due to central banks already hiking cash rates, yet having no impact on inflation at all. Of course they won't - bond yields are wildly negative in real terms hence still stimulatory.
When the global market is finally smashed by the inflation already baked in through a decade of idiotic fiscal and monetary policy, currencies will collapse and bullion will be next to unobtainable. Add the problem of the BRICS currency being backed by commodities and the fact production has been almost entirely outsourced to those countries and there is major threat to the stability of the entire western fiat system. I hope bullion dealers have locked in long dated call options because that will be a force majeure event for many in the business.
Anyone buying physical silver coins at the current premiums has rocks in their head.