Investing in silver can initially be a confusing activity and working out what is a good price for a silver coin, bar or ingot might seem difficult. If you research investing in silver or just buying and selling silver you’ll quickly start to see the term ‘spot’ when talking about the price of silver.
The most common reference to spot is when people are quoting the price as ‘spot plus x.’
Spot price for silver refers to the current stock market trading price of silver as a precious metal. The price at which you can buy silver from your countries silver mint will be spot plus a few dollars. The actual amount varies as spot changes constantly and the markup that your mint or supplier adds can vary too.
So when you’re looking around online at silver auctions or sales the easiest way to judge whether something is a deal or not is to first know the current spot value and also how much (including postage) you could buy the same amount of silver straight from the mint.
Keep that in mind and you should easily be able to spot a bargain for any amount of silver.
Watching the current spot price is simple to do and over time you’ll be able to see the spot value changing in accordance with all of the variables in the macro and micro economy such as value of the dollar, the feeling of security in currencies as opposed to the precious metals and gemstones, and even more direct impact from mines closing down or running out of silver being found.
The less silver we have, the more it is worth and right now we’re using it up far faster than we’re finding it, which can only have the effect of increasing its inherent value.