TSXV:SLX.P - Post by User
Comment by
MudCreekeron Mar 24, 2011 11:04am
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Post# 18334104
RE: RE: wow: Silver a moment at 37.80
RE: RE: wow: Silver a moment at 37.80They are buying and selling the same thing (SLX stock) but there are different buyers and different sellers, so they might agree on a different price. OTOH, if the prices get very far apart, the arbitrageurs will step in, buying in one market and selling in the other, making a small profit, and incidentally bringing the prices back into line.
I haven't been watching Frankfurt, but I doubt that it is possible for it to be out by a couple of percent consistently, for the above reasons. Right this second, the Deutch Borse site shows silvermex at .654 Euros, which = $.906 Canadian, while the TSX shows SLX at $.91.
I wonder if someone isn't using the wrong exchange rate, like for instance, converting to $US rather than C? The prices quoted in the original post (.665 Euros = $.94) would be right for US dollars, but out by a couple of percent for Canadian $.