In an interview with Reuters Wednesday, the head of the US Mint stated that US demand for gold and silver bullion remains “unprecedented“, that the mint is buying up every single blank suppliers can produce, and that the mint is considering re-launching the Platinum Eagle program, which was halted in 2008.
From Reuters:

Demand right now is unprecedented. We are buying all the coin (blanks) they can make,” Richard Peterson, acting director of the U.S. Mint, said in an interview referring to the Mint’s suppliers.

 

So while physical demand for gold and silver remain unprecedented while the US Mint continues to set sales record after sales record (not to mention the physical gold premium touching $120/oz in Shanghai in April), the MSM would have you believe the gold and silver bull markets have ended.

 

    • Yep… mere barbaric relics.  And yet… people are trading fiat for them, hand over fist.  Go figure.
       
      /sarc/off
       

  1. The American People don’t seem to be so much ‘asleep’ as rumored. While idiot bankers may arbitrage their bullion East for numerical ‘account profits’ in their imaginary Plantation Scrip, ordinary ‘stupid savers’ are quietly turning in those same constantly and ever-more rapidly depreciating stamps … in favor of REAL money.
     
    I guess there’s just no explaining ‘common sense’ in defiance of ‘rocket scientist’ whizz-bang. Maybe, in the long run, in every one of its permutations … Paper Rots, Coin Does Not … but, such simplistic deductions are anathema to ‘rocket scientists’.

    • Good morning, Dirt.  I believe its more like 1/10th of 1 percent (in USA) accumulate PMs.  When it gets to 5% we will have 3 or 4 digit silver!!!!!!!!!!!!!!!!!!!

    • ‘Prices’ of what? Gambling parlor wager tickets that only infrequently ‘pay out’ in metals. As time goes on and banknotes TOO are more intimately understood as nothing more than different style wager tickets themselves, the metallic pay-outs will come into intensely rising demand. When the metals are effectively all gone … THAT’S when, in a flash, folks will flatly ignore ALL wager ticket ‘prices’ as anything but the empty promises and ‘come-ons’ they’ve ALWAYS been … back to 600 AD.
       
       

    • Keep whistling past the graveyard until we’re by it and prices rise.. saying the paper price of silver and gold don’t matter is silly. We’re all acutely aware of what fiat money is worth. By we I mean the average stacker. The vast majority of people are still fast asleep, proof is in the paper price, which is what the physical price is based off.
       
      It’s been a bargain long enough for my liking. Start the fireworks show already.

  2. Pat 
    600 AD  Wasn’t that about the time the bubonic plague swept through Europe, killing about 35-50% of the population.  It would be a good mental exercise to calculate the value of gold and silver and its relationship  to labor and and live sustaining commodities.  I’ve seen it done for that era but not how it might translate to our present time.
     The era of the black death,  dark ages, feudalism and serfdom was not altogether bad, unless you were part of that population.  Trade and commerce thrived in some markets;  the middle each, north africa, the far east.  If we suffered a siimilar fate, a world wide collapse with a pandemic, much the silver and gold in the world might resurface to replace paper currency to reassert their place in human history as  the reality of FIAT is repudiated by the precedence that history’s lessons clearly show.
      PMs would rapidly assert their values in very short order, maybe within months, if the Empire of FIAT collapses.  The western world would have much farther to call than the east which has, by its nature, the ability to go to ground until hard times pass.
     The eastern countries are either quickly filling their coffers with heavy metals, and maybe even topping off their vaults, like China.  It’s estimated that China might have 20,000 tons of gold;  unknown amounts of silver. Their copper stocks are estimated in the hundreds of thousands of tons.
       India may also be in a similar situation since India and China have been collecting precious metals for millenium.  Even after economic despoilation and theft, there must be very large reserves left over.  If the total above ground gold is  170,000 tons, India,  China  and other countries of similar mind set could easily possess 30-50% of the total world gold stocks.
    If the 600 AD era was one of the reestablishment of real money, after the Romans debased their currency though dilution of the PM contents, the powers that possessed the fully valued metals, including abundant copper stocks, would have  power and the ability to buy the labor and supplies needed to establish themselves as a country to be reckoned with.
    Thus, if we denude ourselves of precious metals we may end up at the stinky end of the stick, wonder how we got into such a fix, realizing that even in the 21st century the truth to the saying:  Those who have the gold (and silver) make the rules.
    We could be setting ourselves up for a very  hard time since we (not the stackers, mind you),  the western powers, by selling off our birthright,  allowing our PM stocks to be converted to worthless paper or stupid bets in the pursuit of  profits buy leasing of gold and silver or even allowing it to be  blatantly stolen, much like the western powers did to China and India in centuries past. 
    What comes around,  goes around. 
     We may look back and see that  western world precious metal depletion may be  seen as the litmus test and defining moment of our era for the very reason you state,  Precious metal Coins do not rot, paper does. We are wallowing in an ocean of paper with little of value supporting anything in our collective countries, except maybe our souls–and I think we are trading those for paper as well. That is the ineffable sadness of our culture. 
    We trade our souls and PM for total crap.  But I digress on that subject.

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      @AGXIIK
       
      My reference to 600 AD was when the Chinese invented block printed ‘money’ (ACTUALLY 800 AD, but I couldn’t EDIT. It was a 600 year event, which is what screws me up with that 600 AD mistake once in a while).
       
      The Era between the Plague (14th C.) and the post-Columbian glut of PM from America (16th C.) WAS economically tumultuous. Sandwiched in between huge devaluations of money for two apparently different reasons, investigation into the true underlying cause was sparked in the ‘Spanish Scholastics’ (15th C.), who were the first to publish (private academic) findings of population-circulation ratio as the core of the phenomena. After the Plague, lavish inheritances were shared among a tremendously diminished population and after the ‘New World’ glut of PM ‘imports’ from South and Central America each proved ultimately by ‘Inflations’ of currency … on the one hand, caused by reduced population and on the other, by increased circulation.
       
      On your other point, I’m not totally convinced of speculations surrounding gigantic ancient hoards of PMs in China. Their impetus behind paper money was a copper shortage in the first place and if they had so much silver and gold, they COULD have more easily put emphasis on silver and gold in the interim. It wasn’t until 1450 that the paper scheme finally collapsed (having suffered regularly worse ‘crashes’ leading up to the final demise). At that point, they re-constructed their copper base (including highly anguished cost of gigantic bronze statuary of Buddha), while they THEN ‘standardized on silver as their ‘fulcrum’ between copper and gold. That project took … 300 years … to complete. So, where were the 4,000 year old silver hordes THEN? I venture to say … scattered across the globe.
       
      India is a whole different case, altogether. Just as Ruse-a-veldt didn’t actually get much American gold in truth, I strongly suspect the British didn’t get very much Indian PMs during their occupation.

    • @AGXIIK
      CRAP! Let’s try this again …
       
      My reference to 600 AD was when the Chinese invented block printed ‘money’ (ACTUALLY 800 AD, but I couldn’t EDIT. It was a 600 year event, which is what screws me up with that 600 AD mistake once in a while).

      The Era between the Plague (14th C.) and the post-Columbian glut of PM from America (16th C.) was economically tumultuous. Sandwiched in between huge devaluations of money for two apparently different reasons, investigation into the true underlying cause was sparked in the ‘Spanish Scholastics’ (15th C.), who were the first to publish (private academic) findings of population-circulation ratio as the core of the phenomena. After the Plague, lavish inheritances were shared among a tremendously diminished population and after the ‘New World’ glut of PM ‘imports’ from South and Central America were each ultimately ‘Inflations’ of currency … on the one hand, caused by reduced population and on the other, by increased circulation.

      This is to say that I’m not totally convinced of speculations surrounding gigantic ancient hoards of PMs in China. The impetus behind paper money was a copper shortage in the first place and if they had so much silver and gold, they COULD have more easily put more emphasis on silver and gold. It wasn’t until 1450 that the paper scheme finally collapsed (having suffered regularly worse ‘crashes’ leading up to the final demise). At that point, they re-constructed their copper base (including highly anguished cost of gigantic bronze statuary of Buddha), while they THEN ‘standardized on silver as their ‘fulcrum’ between copper and gold. That project took … 300 years … to complete. So, where were the 4,000 year old silver hordes THEN? I venture to say … scattered across the globe.

      India is a whole different case, altogether.

  3. Speaking to these record sales, I’m actually somewhat proud of the Royal Canadian Mint. They reported sales up over 60% in Q1 compared to last year. They went on allocation but at no time stopped deliveries. This tells me that someone in management there is doing a decent job in the supply chain.
     
    The local forex / bullion dealer I use is actually already sold out of RCM wood bisons. It seems that the tightness of maples caused them to sell out much faster than have previous wildlife series.

  4. Pat  That makes sense in how the Chinese, with a 1,000 year time period of growing population and burgeoning economies could run out of all metals that were used for currency.  What an easy way to reduce reliance on precious and base metals—paper money.  I didnt know they had such large ups and downs during that period.  The gold and silver glut after the new world conquests was an interesting effect and as I recall it drove down the price of precious metals in the old world.  As for who has hoards of gold and silver, it seems logical that as economies rose and fell and trade adjusted correspondingly, the supplies of both metals would slosh across the globe.  The British, with the far east trading companies had to adjust and tweak their systems and products to prevent a depletion of sterling, thus setting about the opium wars and repatriation of sterling from China.  Then silk road drew much silver and gold east in an earlier era. 
    These swings we see today are just a fraction of the historical picture of PM demands and thus it makes the very strong case that real money has, us and always be an arbiter of empires successes and failure due their limited supplies of same.  Cheers and thank you for the history lesson

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