Metals, Markets & Mistrust: Highlights from Our December 1st Twitter Space
Edited recap featuring Bob Coleman, David, Jim, O’Hare, and others
This conversation originally took place on December 1st, 2022. Part One featured Tom Luongo discussing geopolitics, the Fed, and European market dynamics. In Part Two, we turned to the state of silver premiums, crypto fallout, and systemic stress in metals markets.
Silver Coins: Scarcity, Premiums, and Dealer Markups
David opened the discussion by highlighting the high premiums and low mintages on silver coins, particularly American Silver Eagles. He criticized how bullion dealers have overratcheted premiums, even as spot prices remain relatively flat.
These inflated retail prices continue to frustrate investors trying to accumulate physical silver without being punished on entry.
Tether, FTX, and the Absence of Justice
Jim raised concerns over Tether’s stability, especially in light of ongoing volatility in the crypto markets. He also addressed the public frustration surrounding FTX’s former CEO, questioning why no criminal action has been taken.
Bob noted that the individual in question is currently residing in The Bahamas, a jurisdiction where extradition can be more complex—another example of how regulatory protection may depend on geography, not legality.
Silver: The Metal With Dual Citizenship
O’Hare made a compelling case for silver as both a monetary hedge and an industrial metal. He emphasized that:
- Metals should be viewed over longer timeframes when evaluating performance against inflation
- Global banks and financial institutions are under increasing pressure
- Larger players are starting to show renewed interest in physical metal and mining equities
For investors looking at resource equities, O’Hare offered strategic considerations for identifying undervalued plays in a market showing signs of institutional accumulation.
Global Supply Stress and the Coming Silver Deficits
The Silver Institute has forecast a 200 million ounce supply deficit in silver for 2022.
Several refining and smelting operations across Europe have gone offline due to rising energy costs, tightening the pipeline for finished metal and creating further pressure on available above-ground supply.
Takeaway: Between overstretched premiums, structural supply issues, and rising institutional demand, the silver market is signaling a shift. Investors would be wise to dig beneath the spot price and consider what’s really happening in the physical market.
Meet the Author
Bob Coleman, with a successful career in investment and portfolio management since 1992, is the founder of Idaho Armored Vaults and Profits Plus Capital Management, dedicated to providing secure and comprehensive solutions for precious metal investment and storage, emphasizing transparency, risk mitigation, and client-focused service.
BOB COLEMAN
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