Posted on 02/25/2011 3:27:38 PM PST by DeaconBenjamin
This is a real all time high that we are in.
The ‘all time high’ was a few minutes on one day in the 80’s when the Hunt Brothers were attempting to corner the market. Spot price hit $50.00 plus per ounce. Then the attempted corner was discovered and kaflwey!
I used to trade commodities back then. Saw one guy who was actively trying to ‘buy’ his shot positions back. Market had been limit up for three days, and he could not ‘buy’ his positions back. Then the next day the market opened - under extended limits - at limit up. Then it traded at - keep in mind extended limits were in force - at limit down. His buy was at the market high. The guy lost a house on that one trade.
This is REAL and these prices are record.
Harvy Organ reported late yesterday that OI for March delivery settled at 28,275 contracts.
As always, that number may or may not go up or down, depending on what the Big Boys have up their sleeve and how big a premium they are willing to spend to get contract holders to roll over their contracts to the next delivery month. (May)
But 28,275 contracts means 141,375,000 ounces.
And I don’t think Comex got it. Or even can get it.
Fifty dollar silver is on the horizon.
Maybe more.
This is an important article. Thanks for posting it.
My understanding is that ‘our’ American government is able to pretend food prices are not changing in the way they are because the price of food is no longer included in the figures used to calculate inflation.
Silver and gold should be very interesting, even more so in the coming month, especially with the ‘day of rage’ scheduled in Saudi Arabia on the 11th of March, those and the price of oil.
These silver short shennanigans, of which J. P. Morgan seems to be the biggest player by far, have been going on for a long time.
People have warned that at some point their house of cards is going to come tumbling down. It hasn’t happened yet. But it’s hard to see how this game can go on much longer, even if they are insiders who are used to making the rules.
They raised the silver futures margin requirement a while back. That didn’t accomplish much. Maybe they’ll raise it again. But I agree. This game is a losing one for them.
The gold: silver ration was stretched unusually far toward gold. That corrected some recently, but silver still has a long way to go to catch up with gold.
I watched the prices over the long holiday weekend, and I think this analysis makes a lot of sense.
Aaargh. “gold: silver ration” should read “gold:silver ratio.”
So, what is your prediction as to how high it will go and what would cause it to crash?
FYI
Balancing the federal budget and sarting to pay down the debt would be the way to crash silver. Also, an industrial substitute that would take away the largest industrial uses, but then if the budget isn't fixed, any lack of industrial demand slack may be taken up by investors.
Then the COMEX managers shorted silver and changed the rules without warning and kaflwey!
My prediction how high it could go would be worth every penny you paid for it.
What would cause it to crash? Responsibility in Washington. No threat there.
I have found this website to be a very useful source of information on the economy, gold, and silver.
http://goldismoney.info/forums/
I’m holding on to my silver & turquoise jewelry as a
“hedge” fund. I have tons of it. LOL.
I recently picked up a silver/turquoise bracelet that had a lot of fine work and an odd signature: dots above mountains/serrated teeth. Have you ever seen it before?
For $1450 gold at 16:1 silver is $90.
Silver has a ways to run.
just my process
bought silver when the G2S was 65(ish). G2S is now 42.
holding
although news like this makes me consider getting more (physical). AGQ is around 170... may hit 250, 30-50% jump... hmmm
for your amusement:
Basically they saw that people were trying to crash the exchange and made sure they could not.
Here is an article about this, from Karl Denninger: Comex Rule Change
All that nasty ol’ tarnished silver tableware and serving pieces I’ve been scooping up at yard and estate sales for years just might pay off after all.
Yes, I think I may have seen that signature, but gee, it’s been so many long years since I bought that jewelry. I don’t remember the artists. Maybe you could find it online. I have some beautiful heavy pieces, but I haven’t wore it since 1989. Change of careers. LOL.
Just might be. Good luck.
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