Physical Bullion vs. Paper: Get Your Paper Bullion Converted to Physical ASAP

Below is an email that went out from a Canadian bullion dealer:

“Sold almost a half tonne of silver on Friday. Bought 3,000 maple leafs in two orders over the last couple of days to replenish shop inventory…I am doing my best to add to my personal holdings but so much is coming in I can’t really afford to buy it all. I don’t have any personal bullion but I try to keep all the silver dollars offered to the shop. We have full page newspaper ads as well as radio ads running so a great deal of material is coming in.

On Friday I sold over 150 gold maple leafs as well as the silver I mentioned. I am seeing more affluent buyers who are cashing out certificates and converting to physical. The banks are getting weird about bullion here in Canada. They are refusing to buy bullion unless it is fully documented. I get the feeling they are trying to imply your specie would be worthless if you loose the documentation so stick with certificates which are registered. One client tried to convert certificates from Scotia Bank into bullion but the bank said the type of certificate did not allow for that. He sold it and found the premiums to buy physical there to be prohibitive so came to me. It’s very easy to do well when your competitors are the banks

I am also selling lots of silver over the last few weeks. With the current lower prices I am seeing many people add to positions which is very unusual. In the past many sold corrections.”

GATA has always warned for over a decade that eventually the physical bullion market would blow up the fraudulent paper market. If you have ANY paper/certificate/leveraged account “investments in gold/silver – GET OUT OF IT NOW AND BUY THE REAL THING. This includes GLD, IAU, SLV, Kitco, Monex, BMG or any Wall Street bank cerificate products. Even Perth Mint certificates. And especially if you have ANY exposure to Bank Nova Scotia/Scotia Mocatta, HSBC, JP Morgan or Barclays as a custodian.

“Alea iacta est – Let the die be cast”  – Julius Caesar upon crossing the River Rubicon with army.  Today was just a taste of what is to come with the markets.