The Real Money Show
The Real Money Show - December 7th, 2013
The Real Money Show from December 7th, 2013 with John Scholes and Guildhall Wealth Management.
And the real money show is on the air, the number you need to know, one, eight, seven, seven, two, one, four, 17, 11 guildhallwealth.com. Why are there? Check out guildhalldiamonds.com, a full hour of gold and silver knowledge and education, if you will, a natural fancy colored diamonds, guildhall diamonds as a matter of fact, Jeremy's in studio along with Darren and Paul and the queen of diamonds returns this week. Nicole is also joining us. So we always start off with an update of the week. How's it? Or how did it look there? Well, again, fluctuations during the week presented, buying opportunities, John and gold and silver right now as we're taping the show on Friday set, respectfully at 1,230 range in gold in 1960 range in silver, which is a slight improvement over a week front. We had gold and silver bounce pretty high sharply on Thursday as traders went long, leading to about a short covering and gold looks really as does silver looked extremely oversold according to a lot of the technical indicators I follow. And gold was also supported by the emergence of Indian demand is jewelry, coin and bar providers, seemingly this week stocked up at these lower prices in the ongoing marriage season as you know over in India. There is a lot of speculation that data on Friday, which we're not going to get right now, is going to reinforce the case for the Federal Reserve to cut back on its spending. That's what the stock markets were looking towards this week. What is the jobs report going to bring about? No significant change in fact, nothing to write home about. They say that unemployment rate drops slightly in the U.S. down to 7%. But the reality is we know better. A lot of people have fallen off the table and a lot of people have just stopped looking for jobs. So the reality is the numbers are a little bit misleading. Now this is leading to a lack of bullishness in the paper gold market, but we are the physical market. Guildhall represents what is happening in the physical market and the physical market can be more on fire. It's seeing a totally different dynamic. You have continuing robust global demand right now and gold demand just set another new record this week reported for the year over year period in China and in Asia as a whole. So Indian gold premiums also hit another record this past Thursday. They're driven by low supplies to meet a lot of demand for again that Indian wedding season. That's going to continue through right until May. It's part of the reason that we have big run-ups from January to May on those big cycles we talked about when history repeats itself. And if I look locally my contacts in India were saying that you could expect to pay as much as 150 to 160 per ounce more per spot for gold in the Indian market this week because of demand. In London also I was told that prices were running around 120 to 150 higher than spot pricing with demand for physical bullion because there were low supplies. And in Shanghai this week again another record hit they had as much as a $22 premium over comics prices showing how the Chinese demand is completely continuing on. So we have Chinese New Year coming up on the 31st of January and I would expect to see a lot of renewed demand in Chinese buying on this latest dip in prices. So it's going to go back up generally over here as well. I think that you're getting some of the last good opportunities of the year and again we seen this before. This is nothing new historically over the last 12 years we've seen four major peaks in the market all start with this type of seasonal event driven buying that stems from these low prices which are unbelievably oversold conditions and these are the bargain times when real smart investors take advantage and make money long term. And of course when we want to look at the bigger picture here we see that after a decade long run of gold and silver moving up and we had our pullbacks throughout that time. We'd seen 30% and 40% pullbacks in both gold and silver from time to time. Still the market was up year over year and after a decade long plus of gains we've had a nice good long correction here of over two years. But of course the entire time while this correction has occurred buying around the world physically has been extremely robust China breaking records left right and center India buying in fact even the US mint sales have been on fire throughout this year as much as they've sold it back in 2011 when the market was going crazy. So the market the physical market gold and silver have been moving into strong hands when the next leg up starts to starts to happen there will be continued panic but there'll be a lot less bullion available one eight seven seven two one four seventeen eleven guildhallwealth.com is there is there a concern with volume with product. Yeah supply right now is very tight if you look in the futures market there's an extraordinary situation developing and it's important that you hear it from shows like ours because you're not going to see this in the financial media they don't care about it because they're involved with other things and they want you to believe that gold and silver long term is going nowhere but down. Ultimately in the futures market right now in particular the gold arena there's a interesting story developing whether people know it or not December is the largest delivery month in the futures market for gold it has the most demand of any other month of delivery and right now standing for the month of December which needs to be concluded before the end of the month either by way of being paid out in terms of delivery or rolling over into another delivery month is about twenty and a half tons of gold it's an enormous amount it's thousands and thousands and thousands of ounces of gold and the available amount of ounces it would drain the comics ninety nine percent. So if that stays standing those are the kind of events that drive prices higher and that's a big problem because you're seeing it in the numbers the numbers are telling us that the banks that the merchants the jewelers and the mining firms are going long they expect the price to rise are they the smart money you bet your bottom dollar they are they know what's going to happen long term because they're the closest to the market and they are not shorting right now they are not long and that tells us that they have an expectation in the short medium and long term that the prices for gold and silver are going to jump. Well I think this is an unbelievable time to get into the market we've been talking about this for the last couple of months where silver has come off from around about twenty four dollars down to you know around about nineteen dollars gold has come off down to where we are today at about twelve hundred and thirty dollars nothing is changing the world if you look as anything really changed in Europe is Greece still in trouble is Ireland still in trouble is Portugal in trouble is Spain in trouble our country is still printing money is Europe printing is the US printing they're still buying eighty five billion dollars worth of garbage bonds every single month putting the money into the banks not going out to the public I've stated before in my belief in the next I said twelve months but I think in the next nine to ten months you're going to see an unbelievable increase in my opinion in silver and gold I've been calling for sixty dollars silver I still think we're going to hit this figure in the next nine ten months it only takes some type of little bit of catastrophe some of the things that are going on with the cliff in the US with a budget these are all things that will come to fruition and when it does the stock market right now it seems to be the only play because this is where the government wants people to put money into paper gold silver this morning when they announce the job creation you know gold and silver came off and all of a sudden bang it came back up again we understand this market we sell physical gold silver platinum and palladium we're not in we're not in paper products we don't sell equities we don't sell ETFs we don't sell paper certificates we don't sell futures and we don't sell options of futures we sell the physical gold silver platinum and palladium as well as natural fancy color diamonds these are the areas hard assets that we're in in actual fact we on the show last week I you know put on a special on 100 ounce gold bars silver bars rather when you bought three bars we gave you an unbelievable price it was such an unbelievable success we're going to carry it on for another week up to the 15th of December we brought in some more merchandise people snapped up the only difference is you have the option you can take home delivery immediate delivery you can take delivery put it into our depository and the reason you should put it into depository because sooner or later you are going to want to sell that product whether it's in six months a year two years five years ten years you're going to want to sell that product you don't want to be running to a bank you don't want to be leaving it in the basement and hauling up you know a thousand ounces weighs seventy pound you know you're going to get a double hernia lifting the product out of the basement be smart put it into the depository it's safe it's secure it's insured john give the numbers where they can call the number open account the number is one eight seven two one four seventeen eleven online at guildhall wealth.com you talked about silver is silver really a better biting gold at this point well first undervalued it's it's as far as gold and silver concern we've seen gold from climate tremendous mountain from day one till now from 2002 till now and gold is arguably way while it is not even arguable it's way above it's all time high the previous all time high it hit was eight hundred fifty an ounce at twelve hundred and all you know thirty dollars an ounce right now it's about four hundred and you know some odd dollars above it's all time high silver however it's all time high is fifty two dollars an ounce it's an intraday high it was hit in january of nineteen eighty and we've come close we came forty nine dollars an ounce in spring of two thousand eleven but we have never ventured above that fifty two dollar mark that makes it very undervalued against gold and also if you look at one of the leading indicators that tells us it's undervalued it's the ratio between gold and silver right now that ratio stands at around it's been hovering around sixty to sixty five to one meaning it takes sixty five sixty to sixty five ounces of silver to buy one ounce of gold historically for hundreds of years including that last big bull run in the seventies it's more natural ratio is sixteen to one so it wants to move back during bull markets towards that ratio now will it get back to sixteen to one we believe it's going to get very close could get down to twenty to one maybe eighteen to one but even if it went down to the last lowest ratio which was thirty two to one right now silver would jump at least ten fifteen dollars an ounce and that is more likely to happen than gold doubling right now so yes silver is very undervalued and we're not saying we dislike gold I mean when Darren said gold hit eight fifty in nineteen eighty the debt in the u.s. was one trillion dollars today if gold if gold were to match that that ratio you'd see the debt you'd see gold move up seventeen times over that eight fifty mark as well when the when the when a bull market concluded when the bull market concluded in the early eighties gold hit one to one with the Dow which would put gold up around sixteen thousand dollars an ounce right now and it's sixteen to one ratio you're looking well over triple digits silver the thing you have to understand is that silver is an industrial metal we've been consuming more than we pull out of the ground for decades now and there's five times more gold above ground than silver so silver above ground is actually a lot more rare it doesn't get cheaper to to mine every year so over the last couple years as the price has been consolidating after again a long bull market run which has not topped out yet as Paul was saying nothing in the world has changed and the debts haven't been eradicated they haven't tapered inflation is still going to be with us but all of these factors are still here and in the meantime it's only getting more expensive to mine the stuff so we do feel that when gold and silver start to move silver is going to play a lot of catch up the other thing I would add to why silver is potentially a much better option between the two even though they're both great is that just as much money is going into buying the physical silver coins as is going into gold and if you think about it of how much more silver you need to be buying to match those levels you're seeing a lot more people buying silver than gold right now and that trend is set to continue we got to about a minute before first break Darren give us a you know in a nutshell your take on Janet Yellen Janet Yellen is very davish she's probably going to pursue more of the monetary easing started by Bernanke and Ellen Greenspan on the way out and I would suspect that if she even starts to pull back on the amount of spending that they're doing as the Federal Reserve it will send such a ripple effect through the marketplace that it could risk breaking down the market altogether right now confidence is extremely fragile and the last thing they want to do is shatter that little bit of confidence that they have left that this stock market which is completely fraudulent might you know not go higher when we get back in the you know the next session I'd like to talk about the difference between the haves and the have-nots right now the people that are making money the wealthy and the poor we'll take a quick break one eight seven seven two one four seventeen eleven and online at guildhallwealth.com we will take a short break out to talk about price inflation possible global currencies so much to talk about in the next segment stick around lots more of the real money show coming up the real money show continues the number you need to know to make the phone call to start investing one eight seven seven two one four seventeen eleven and online at guildhallwealth.com just before the break poll you mention the haves and have-nots and the the wide divide that is well if you look at what's going on in the states right now they're trying to raise the minimum wage I think it's seven and a quarter up to fifteen dollars the people that actually you know doing these jobs flipping hamburgers you know school kids or people that are not very educated I mean you know the menus in a lot of the restaurants are very very complicated today it's not rocket science to flip a cheeseburger so again the wages are very very low the poor are getting poorer I mean there's forty eight million people in the US on food stamps one in six kids goes to bed starving in the states they're supposed to be the richest country in the world now you look at the other end of the spectrum you know the people on Wall Street and the people in that really never work for themselves they work for the government they got no idea you know the cost of anything because they're being comped all the time or the tabs are being picked up the money that that that was when on with the Fed where they're buying eighty five billion dollars a month in bonds and different types of weak assets which is actually going the money's going into the banks it's going into Wall Street I've said many times before how many people out there listening to this show on Google that over a thousand or fifty dollars on Apple five fifty five sixty a share you know can you buy a thousand shares of Google you know it's only for the hedge funds it's only for the very very wealthy so the richer getting richer the poorer getting poorer in the middle class is actually eroding you know they're not keeping up with what's going on in the world you have to be in hard assets to protect what you've got if you're looking to retire if you're looking to put your kids through university you're not going to do it on a paycheck you're savings if you're in an RSP you know eventually when you want to take that money out of an RSP you're going to pay tax so what you think you've saved you haven't saved because you know what's fifty thousand dollars today what is it going to be in ten years time and what's it going to be in twenty years time you know I always give an example every week basically I say take ten thousand dollars put it in a coffee can ten years ago bury it in the back garden what's your buying power seven thousand eight thousand if you would have took the same ten thousand dollars and silver was trading at four dollars ten years ago and bought twenty five hundred ounces of silver even at today's prices of nineteen fifty nineteen sixty you'd have fifty thousand dollars you tin can with cash even if you put it in the bank and you got interest of one percent two percent which again is taxable what would you have you'd have a ham sandwich you've got seven eight thousand dollars worth of buying power you need to be in a hard assets you've got to think of what you're doing is inflation going to come yes it is do you look at a basket of groceries you know Darren talks every couple of weeks about every year he goes out and buys a basket of groceries and measures the cost of this year versus last year and the packaging the packaging is getting smaller the cost of the goods is going up you need to be smart if you've been sitting on the fence and you've been listening to the show I have people I run into all the time say oh I love your show I'm listening to the show it's great great information what you got to do something about it you need to go out and buy gold silver if you can afford it a natural fancy colored diamond and look after your capital protect you have life insurance you have health insurance you have car insurance home insurance you don't want to die you don't want your house to burn down but you still have it but you're not protecting your capital ensure your capital with hard assets gold silver this is the best time to get in I think these prices are going to go through the roof in my opinion I think it's an unbelievable time one eight seven seven two one four seventeen eleven Guildhall wealth I come want to talk about global currency guys but you did mention that earlier Jeremy about a storage for your bullion as well can you self-store can you leave it there with you well it that's a good question because I contacted my insurance broker because I I people I talk to people every day they're interested in doing their own storage because there are fees associated with storing your bullion you have to remember this is this is for wealth protection and and and bullion doesn't give you a dividend it's not a paper asset it's not a paper asset it's a physical asset and so it does cost money to store well the insurance company did make me aware that if you don't have article insurance if you're just going with home insurance they're not going to ensure anything over five hundred dollars of course then you're moving into article insurance and we should actually get an insurance broker on the on the show here to discuss this in more detail but obviously article insurance can get very expensive if you're looking to store ten thousand dollars worth a bullion that leaves you with with putting your bullion in a safety deposit box or storing it in your own safe and of course then you have to deal with logistics of if you've watched this market at all you know that it's moves happen very quickly if it moves up it's going to gap up quick if it comes off it's going to come off quick and to store your bullion for less than two percent cost of doing business on an annual basis but in three four years that could save you over ten percent it's worth considering storing and ensuring your bullion in a place where that's what they specialize in and that's what the depository does for our clients also the easel liquidity Yeah well again if you've got it in the depository it's safe it's secure it's insured with Lloyd to London the difference is that if you want to sell that product if you've got it in the basement or if you've got it in a safety positive box the banks don't give you a safety positive box for nothing they charge you want to pay thirty five dollars a month they give you a little tin can and that's basically what you get to put two three bars of silver in if you're going to put a thousand two thousand five thousand ounces of silver you need a huge box and it's going to cost and you're not covered from the bank for our insurance purposes they don't do that so what you need to do is think about do you want to take it home do you want to keep it safe and secure you've also got the opportunity not the opportunity but it you know loose lip sync ships and people know that you've got product at home you could have a home invasion broken window and all types of things could go on so you know what are you going to save it's actually 1.3 percent a year to store your metal in a safe secure depository if you've got a hundred thousand dollars worth of metal it's going to cost you a hundred dollars a month to store it that's cheap look what it costs to to ensure what does it cost to ensure your car does it cost thirty dollars a year you know people pay eight hundred thousand fifteen hundred dollars to drive a car that's a you know depreciating asset depreciating some cases as an s box right and you're still paying ridiculous amounts of insurance you're paying big insurance on your home my office insurance every year it goes up it doesn't go down so if you really want to take it home you feel safe you want to bury it in the backyard and put it under the mattress do so we're not going to stop you doing that but you're better off to put it in a safe secure depository we even offer allocated product segregated product that is insured we can give you all types of insurances of the product is there the bars are numbered if that's what you want so again give us a cool job yeah one eight seven two one four seventeen eleven an online a guild hall wealth dot com dare and I know you're not a member of the Illuminati but you know that I'm assuming at this point is there going to be a global currency I don't think there will ever be a global currency but I can tell you that the fact that we're speculating about it where the closest we've ever been to seeing something like that happen ultimately those conspiracy theories will will they're abundant and they'll be around for a long time to come but I suppose if if one was to think about the long term the greatest fear right now is that there is no reserve currency that's ever stood the test of time we look at the American currency and we think to ourselves they're the biggest economy in the world however what we don't realize is that that's only been that way for about 40 years prior to that it was the sterling pound right of the US it's seventeen trillion dollars right I know when you do your seminar and you speak about what is seven what does a trillion dollars look like well you can't picture it I mean you can you can see you can in your mind the best way to test it is if you're a listener out there think quickly what you would do very quickly right now I want you to set aside a second and do the following think what you would do to spend a thousand dollars pretty simple yep how about ten thousand pretty simple a hundred thousand a million one billion one trillion you can't even fathom it yet a trillion dollars would take up an entire football field would take up the entire premises of the White House and it would be on skids piled six feet high in hundred dollar bills so imagine if interest rates rose in the US what they would pay to service the debt on seventeen trillion and you wonder why the Fed wants to buy bonds to keep the interest the long term interest rates low they've got themselves caught in a feedback loop where I'm sure whoever takes the the helm Janet Yellen's going to take the helm you think she's going to want that to explode on her watch it's a massive hot potato musical chairs we're waiting for the music to stop and that's where you come up with that's where you start to see well who could be the next reserve currency ultimately the thing you have to understand is that gold is discipline you can only you can only dig out so much gold every year so backing a currency with gold does make sense in terms of discipline because once you hand that discipline over to some guy or woman who's going to control the interest rates you can see it that it never works so that's what gold is good for in terms of reserve currency and any country that can back their currency with gold is going to be the king for for people wanting to trade because it's going to create a balance right now every country is lowering their interest rate everyone's racing to the bottom people want stability not not not their currency constantly falling and the and everyone's just running to the bottom to stay competitive so something backed even partially by gold is going to bring back some credibility and some control to the market now that's something that I could see happening in our lifetime absolutely it's a thing with a juggler he's got so many balls in the air and he's got loops on his hoops on his feet sooner or later you're going to drop a ball once one goes they all go the difference is seventeen trillion dollars in debt is an awful lot of money how do you pay off seventeen trillion dollars in debt you can only get it by collecting taxes or lowering the dollar well not I'm just going right now by collecting taxes or cutting any supplements that you give to to the needy so if I'm saying this forty eight million people on food stamps right now it's increased from thirty two million to forty eight million in the last ten years it's not getting any better so seventeen trillion dollars in debt another hundred and eighty trillion that's in social security and funded and funded and Medicare where's it going to come from you can't print your way out of almost two hundred trillion dollars worth of debt it's impossible unless you're going to pay you know ninety nine percent tax on a dollar I think he's in one of Charles Dickens books I think Mr. McCauvery says you know spending two one pound and sixpence is you know terrible thing spending nineteen shillings and sixpence is happiness I mean and that's what it is I mean they're overspending in the states they've printed up so much money it's going to play catch-up gold silver is one way to protect against inflation and against the printing of money you can't print up gold bars only three percent of the world own physical gold and silver I think it's even less than that not even total paper and physically ninety seven ninety seven percent are in real estate and paper the stock market in a hundred years there's been four major bull markets all of those bull markets prior to this had participation rates greater than twenty percent of the population so whether it's owning one coin or whether it's owning tens of thousands of ounces of silver that participation rate rose to twenty percent of bull market there's no way we've topped out we haven't come anywhere near it and quite frankly if even three or four percent of the population decided to go and buy an own physical bullion it would put such a strain on the market that the price of gold and silver would literally overnight skyrocket and even in the futures market the smart money is taking delivery of the product they don't want to roll it over into another futures contract they say and give me my gold give me my silver and you know what they can't get it there's been a couple of companies that have already defaulted and given you cash because they can't give you the product we have that in mind we've got about a minute left in this one just briefly Darren tell me why why do the Chinese love gold so much and us hate it well they we've been brainwashed in North America to to fall away from it it wasn't that long ago that we carried cash in our pocket johns and now we're made to feel like aliens if we have too much cash in our pocket and that's a ridiculous thing nobody wants to take it we're how many places you go a day where they say you know we don't take hundred dollar bills well sorry but the reality is on the other end of the spectrum the Chinese have begun to understand culturally that it represents wealth they understand that premise they're not going to fight against something that's been around for thousands of years it's outlasted countries you know it's outlasted people it's outlasted everything it's still there today and that's why they're buying an owning because they know long-term it protects buying power and it represents wealth I've talked about this a lot I think North America and even Europe there's a fishbowl mentality we're we're on the inside not looking out these other countries around the world are on the outside looking in they say no there's no way the US dollar can survive like this there's no way thinking thinking short term well anything can happen if you're a short-term thinker stick with the stick with the stock market there's probably some more money to be made but thinking long-term the Chinese say look I know it doesn't pay interest I know I'm just putting this bearing this in the back garden or putting it in my safe or or whatnot but I know it has value I know it's going to protect my wealth long-term so I think for anyone looking short-term they're not going to see the force for the trees if they're thinking anywhere outside a three four-year period they can start to see the value of gold and I think that's what the Chinese the Indians the Russians the South Koreans the Vietnamese the Brazilians they're all seeing this one eight seven two one four seventeen eleven online you can check it out guildhallwealth.com we'll take another short break and we come back do we have a diamond of the week Nicole just give me the nod yeah maybe we'll talk about diamonds natural many many diamonds even better absolutely the Queen of Diamonds is in the house so we'll take a short break and come back with more of the real money show listen we're giving you an extra bonus this is a holiday special up until the 15th so on the 16th it goes up what a difference a day makes one eight seven seven two one four seventeen eleven online at guildhallwealth.com fall yes we have a couple of diamonds this week which I will call the diamond of the week they are blue-green diamonds they are incredible one of the best investments that you can make we have yellow diamonds probably more internally flawless yellow diamonds up on our website than any company that's out there in North America and even Tel Aviv and wherever we have more internally flawless diamonds in yellows we have algal pinks we only carry vs quality diamonds in the algal we have an unbelievable selection point five three and a point five nine and we also have a tender diamond we have these blue-green diamonds that you have to look at the terrific diamonds nickel will you explain what a blue green is absolutely so a blue green diamond is technically a green diamond green diamonds are very very rare and because they're so rare they're obviously quite pricey so when you have a modifier which is the color that's before it so in this case we have a natural fancy bluish green on the uh carat weight is this 0.61 carat is the as one of the feature diamonds the modifying color is blue this is about 25% blue in the green blues though very rare are a little bit less rare than greens so it makes it affordable for somebody to get into it own a green diamond and plus have that blue which is also rare and together the colors are exquisite they become like a sea foam green turquoise green and they're really really beautiful and very unusual very exotic colors so i particularly love the blue greens i love anything really with a modifier because the colors that come out are so unique and so beautiful so these two diamonds are amazing clarity so the first one we have a 0.61 carat natural fancy bluish green vs 2 so it's a very high clarity grade for a blue green and it's got great symmetry fluorescence is uh it's on the appraisal and the grading report which you can look at on the website and the price is 66,150 and the appraised value is 115,300 and then we have a 0.35 carat radiant cut intense bluish green and that is also vs 2 clarity and what i love about these cuts is these cuts cushions radiance they really maximize the color and when you look at a cushion it's like looking into crushed ice so when you have that bluish green with the crushed ice that is just a glorious combination so it's beautiful the price is 61,150 and the appraised value is 110,250 so you can see even by these appraisals i mean these are tremendous investment grade diamonds it would fit into anybody's collection a first-time owner into a connoisseurs collection just beautifully i love these two is that a very common carrot size for that type of diamond yeah because when you get into greens i mean to own anything more than a carrot or two especially when you're looking at intense it's really really pricey and what we try to do is of course we can serve as clients we're looking for to spend you know a million two million dollars but we also look at first-time investors because natural fancy color diamond investing is so new to people a lot of people want to test it out first they'll put in 30,000 40 and more the real money show the number you need to know 1-877-214-1711 and sign up for the precious metals advisor free subscription to guildhall's premier market newsletter daren last week how did the offer go went great hundred ounce bars went out the door uh some people bought more than what the minimum was which was 300 ounces to get the deal uh Paul's graciously extended that by buying more product it's not often that we get this opportunity but this time of the year we have established connections that allow us to bring in some products so we're happy to get it and we're happy to extend that offer again this week i mean it's awesome so we're very very excited about what the week holds telltale signs and writing on the wall for higher pricing especially as it should be this time of year never ever fall asleep i mean i know watching the gold and silver market over the last 24 months is not been easy for a lot of people but these are the times when small events little turns in the economy little unexpected uh you know detours happen and we get a lift in pricing what we're looking for now going forward is two closes over twenty dollars an ounce in silver and two closes over 1250 an ounce in gold we get those two pieces there that starts the puzzle and we're going to connect the dots going forward so i expect higher pricing as we move along and we've had a lot of news this week so get the precious metals advisor it is crucial that you have it get it sent to your inbox it's free of charge for one year unless you become a client it's the quickest way we have to give you our insights and our personal take on the market and it's jam-packed for information and you can't go without it if you're thinking of buying gold and silver and clearly we've had a long consolidation the market is retesting the lows but it looks very strong look over the last few years mining gold and silver hasn't gotten cheaper everything's gotten more expensive and it's very difficult to pull it out of the ground at these levels so it's very much unsustainable and only real savvy investors have what it takes to buy in on a bottom of the market and while there's been a long there's been an open window for that it's it can shut at any moment and this the longer the market is the way it is right now where you can buy silver around 20 dollars an ounce us on the paper price the more explosive it can be when it does start to run so having a deal like this being able to jump in at the very low price means that you know for six seven thousand dollars you can really put a toe in the water here maybe get up even to your ankle but it is a great opportunity if you're savvy if you've been watching it for a long time this is the place where you want to say you know what i am going to take advantage and you know what we had a lot of people take advantage literally people coming to us and congratulations to them saying i'm one of those fence sitters and i'm getting off the fence so we'd love to see some more of that we want everyone to be successful and to do that you got to buy it the low it makes it cheaper and makes more money for you as the price rises let me ask you one final thing that you mentioned uh the price on paper why is it priced on the screen different one actually pay well with respect to pricing what people don't remember to factor in is the premium involved in the fabrication of the bars somebody has to make those bars they don't just come out of the ground pre-made and although the the price is trading at a specific price on the screen that's the recognized price we use as a standard to denote what the price is the world over it's called the spot price that comes out of the futures market and markets open and close every day so twice a day in London the spot price is set and then they go through to the next market and pick up from there when i'm buying bullion i'm paying the ask price just like a stock there's a bid in an ask i sell close to the bid i buy at the ask now in bullion depending on the product here is the rule of thumb to keep those premiums low before we go the bigger the bar the lower the premium coins higher premium more work goes into fabricating them and they come from the mint so there's an additional charge of profit there the taxpayer makes a little bit and when it comes to two gold and silver in gold you want to go to one ounce and ten ounce bars if you can in silver as a rule of thumb try to go to hundred ounce bars if you can go to thousand ounce bars great but a hundred ounce bars for sure and those will keep your premiums lower but you cannot buy at the spot price anywhere no matter where i go go in a bank coin shop guild hall any other firm you cannot buy at the spot price if you're buying at the spot price i literally will give you a guarantee in my opinion that you are buying paper and not physical either way get out there and buy a physical product start doing it the number one eight seven seven two one four seventeen eleven online at guildhallwell.com reminder while you're there pick up the precious metals advisor as Darren mentioned it's a free subscription for the year to guildhall's premier market newsletter and just recently launched a soft launch last week guildhalldiamonds.com you'll want to invest in a diamond have a look at it first anyway before you go to the shop there's a good place to start Again, it's been another phenomenal show, guys. We'll wrap for this week. This is The Real Money Show.