CENTRAL BANKS to Start Buying SILVER? Dealer Reveals What Silver Price Will Do

Summary

The video discusses the potential impact of central banks, particularly Russia, purchasing silver alongside gold, and how this could drive up silver prices. The conversation touches on various silver coins, including historical designs like the Barber coins, and how the value is often based on face value rather than weight. The experts speculate that if large-scale purchases occur, similar to the Hunt Brothers' actions in 1979, it could significantly disrupt the market. The video explores silver's industrial demand, predictions for price increases, and the shifting views of banks, suggesting silver could be a strong investment for the future.

Takeaways

• 😀 Russia might be buying silver for their central banks in 2025, potentially impacting the global silver market.
• 😀 If central banks start buying silver like they have with gold, it could significantly raise silver prices.
• 😀 The price of silver has been volatile in the past, such as during the Hunt Brothers' attempt to corner the market in 1979, which led to a massive price spike.
• 😀 Coin dealers typically buy and sell silver coins based on face value, not weight, even though some may price by weight.
• 😀 Older coins, like Barber dimes and quarters, are included in junk silver collections, but their value is largely based on face value rather than rarity.
• 😀 Silver coins are subject to wear and tear, and older coins often have less silver content due to their extended circulation before 1964.
• 😀 The concept of naming coins after designers or depictions, like the Morgan Dollar or the St. Gaudens coin, is a common practice in numismatics.
• 😀 The Mercury Dime, despite its name, actually represents freedom of thought and is not directly related to the Greek god Mercury.
• 😀 If Russia and other BRICS nations start buying silver in large quantities, it could lead to significant market disruptions due to supply shortages.
• 😀 Bank predictions for silver prices in 2025 are bullish, with some institutions forecasting price increases of 10%-30% due to increased demand from central banks and industries.
• 😀 The demand for silver could rise due to its industrial applications, particularly in battery technology, further driving its price up.

Q & A

What impact could Russia's potential purchase of silver have on the market?

If Russia begins buying silver for its central banks, it could potentially increase demand significantly. This may encourage other BRICS nations to follow suit, which could drastically reduce available silver supply and cause prices to rise.

Why are older silver coins, like Barber coins, valuable in the market?

Older silver coins like the Barber coins are valuable because they hold numismatic history and appeal to collectors. Despite wear, they often carry the same silver content as newer coins and are sold at face value or as multiples of face value, depending on the shop.

What is the reasoning behind the wear on older coins like the Barber dimes?

Older coins like the Barber dimes are often worn down because they were in circulation for many years. The high spot, such as the date on early run coins, wore down over time, making it difficult to read the date on some older coins.

How do most coin shops price silver coins, and why is it important?

Most coin shops price silver coins based on face value, which makes transactions simpler and clearer. Some shops may price by weight, which can be more cumbersome and time-consuming, but is a viable method for those looking for precision.

What was the reason for the widespread circulation of Barber coins?

Barber coins circulated for many years because they were used as regular currency in the U.S. before the switch to newer designs. Their prolonged circulation made them more worn, and they are now valued for their history as well as their silver content.

What historical significance do coins like the Morgan Dollar and Saint-Gaudens coin have?

The Morgan Dollar was designed by George Morgan, while the Saint-Gaudens gold coin was designed by Augustus Saint-Gaudens. Both coins are named after their designers, a practice in coin design history, and are valuable for their artistic and numismatic significance.

Why are Mercury dimes a misnomer, and what was the actual intent behind their design?

The Mercury dime is misnamed because it features Lady Liberty with wings on her head, which was meant to represent the freedom of thought, not the Greek god Mercury. The designer intended the wings as a symbol of liberty, not to reference the god.

What would happen if BRICS nations move 1% of their global assets into silver?

If BRICS nations move 1% of their assets into silver, it could put significant strain on the silver market, potentially removing 5 billion ounces of silver from the market, which would likely drive prices up drastically, similar to what happened in 1979 with the Hunt Brothers.

How might silver prices react if central banks start buying silver alongside gold?

If central banks start buying silver in addition to gold, silver prices would likely rise in a similar fashion to gold, which saw nearly a 30% increase in price over the last year due to increased demand from nations purchasing gold.

What are the potential effects of central banks purchasing platinum and palladium?

If central banks begin purchasing platinum and palladium, it could increase demand for these industrial metals as well, which may drive their prices higher. These metals are used in various industrial applications, including battery technologies, which could contribute to their rising value.