Does the recent price dip confirm....

[sixgun]

i was just listening to a London Paul Sirius Report podcast - he ended on talking about Chinese futures.

Interesting that China holds the top position in silvers futures by a big margin - the silver futures market in Shanghai is now 6 to 7 times bigger than the Comex.

The volume of gold futures on the Shanghai Gold Exchange grew 186% in 2019.

China holds most of the top positions in futures - so the Chinese exchanges are developing a stranglehold on futures and they are all being traded in yuan.
China will decide - China could decide now and at any time she likes - when a country has grown such a large interest in silver it means it values it. We live in interesting times the West is still oblivious to.

[STONE]

Seems like the silver market that some call insignificant is very significant. Also seems doubtful that JPM is holding chinas silver as well...

[Seth]

36 minutes ago, STONE said:

Seems like the silver market that some call insignificant is very significant. Also seems doubtful that JPM is holding chinas silver as well...

I though that it made perfect sense that a U.S. company would hold a couple of tonnes of silver on bahalf of the Chinese government, especially since China and the U.S. are currently engaging in the saber rattling phase of a trade war, where else would the safest place be for your country to store a few billion US$ worth of their silver reserves, than with somebody who is not only highly indebted to you, but is also in the process of a trade war with you.  To me it makes perfect sense that the Chinese government would store a portion of their silver reserves on American soil, it's not like the American government could confiscate/steal it under the flimsiest of reasons - i's happened before in America to American citizens, or that the Chinese government don't have their own vaults or secure methods of storage.

That's me being sarcastic, not too long ago, a Chinese govenment official - the equivalent of a U.S. mayor but in control of an entire provence not just a town or city, was caught and executed for bribery, he had so much US currency in his second property - where he stored his ill gotten gains that they actually had to weigh it instead of just counting it, he also had around a tonne of gold, as in physical gold bars.

[sixgun]

@Seth i agree it doesn't seem logical for JPM to hold China's silver especially if the silver is on American soil but what do we really know of the relationships - i seem to remember it said JPM were effectively under Chinese control. i see JPM is establishing a firm foothold in China's futures market. There will be an interconnection in this area of the spider's web and who is controlling whom will likely remain a mystery.
https://www.reuters.com/article/us-jp-morgan-china-idUSKBN1YZ08X

In the early days of the Cold War the US and Soviet Union were at each others throats but at the same time the US was bankrolling the USSR.

[goldking]

7 hours ago, Seth said:

I though that it made perfect sense that a U.S. company would hold a couple of tonnes of silver on bahalf of the Chinese government, especially since China and the U.S. are currently engaging in the saber rattling phase of a trade war, where else would the safest place be for your country to store a few billion US$ worth of their silver reserves

2 tonnes of silver is only $1m.

[Seth]

7 hours ago, sixgun said:

@Seth i agree it doesn't seem logical for JPM to hold China's silver especially if the silver is on American soil but what do we really know of the relationships - i seem to remember it said JPM were effectively under Chinese control. i see JPM is establishing a firm foothold in China's futures market. There will be an interconnection in this area of the spider's web and who is controlling whom will likely remain a mystery.
https://www.reuters.com/article/us-jp-morgan-china-idUSKBN1YZ08X

In the early days of the Cold War the US and Soviet Union were at each others throats but at the same time the US was bankrolling the USSR.

I don't doubt that JPM will want in on China's futures market, however I'd be very surprised if JPM enter the Chinese futures market as JPM for several reasons.  A lot of western companies have lost a fortune and in some cases gone bankrupt because they don't fully understand the way things work in China, not just the culture, red tape and bureaucracy, but also the laws out there are very very different, company C.E.O.'s are actually held accountable for what their company's do, just look at any of the powdered milk scandals that have happened over the years in China the C.E.O.'s of the companies involved in those scandal where excuted and not behind closed doors, C.E.O.'s in China are legally required to make sure that the company that they run follow Chinese law if the company breaks a law whatever a citizen would get for breaking that law so would the company's C.E.O. and China has the death penalty for things like bribery, China also has what could be called ''preventative laws'' for example during the whole Y2K thing when people were pridicting everything computer based would stop functioning and even aeroplanes would be falling out of the sky due to it, by law Boeing's, AirBus's, and every other aeroplane manufacturer that has planes operating within China by law had to have their highest ranking employee in China on one of their aeroplanes during the change from 1999 to 2000, so the aeroplane had to be in the air during the date change over, as in the aeroplane had to take off in 1999 and safely land in 2000.   Then there's things like company ownership laws, in indonesia - where I used to own a company, in order for me to open that company in Indonesia, I had to have an Indonesian partner who owned 51% of my company, when I opened a company in Singapore I needed to have a Singaporean partner who owned 25% of my company, in Malaysia I had to have a Malaysian partner that owned 30% of my company, China has these laws, I don't know what % of the company has to be locally owned, but it will be a significant %.  The only way that I can see JPM geting into the Chinese futures market is if they do what google did, open a subsidiary of JPM in which case a local would be needed to own a % of that subsidiary instead of the parent company in this case JPM, or by partnering up with a local company that is trying to expand outside of China and the Chinese futures market as in create a ''new company'' with a local partner just like what Halliburton, Philips, and Conoco have done numerous times over the years

[Platinum]

In my view silver is a great buy no matter if one is a bull or bear on the overall economy.

[Platinum]

Indeed! Yet right now gold appears to be the go-to metal.

[Platinum]

I do not think it is in a bubble, but I do believe the hype is starting around it.

[Platinum]

Gold may be at an all time high in many currencies but the difference is that the fiat is less concentrated into gold and far more into stocks, bonds, housing etc. Which is why I believe it can go much higher than the current price which is nearing the previous all time high.

That being said I believe silver will be an excellent bet for even higher gains, it’s just not viewed (yet) as a similar safe haven compared to gold.

[vand]

I am not surprised at the recent action. If you study its history, silver always tanks when the stock market takes a big dive, behaving more like a commodity in the panic. 

It is during the reflation when it tends to do its outperforming. 

 

 

[Stuntman]

I've added to my silver ETF during the price dip at the weekend.  
I also added to my platinum ETF. 
What's the collective forum wisdom on platinum at the moment?  Personally I still think it's a screaming buy, but the market continues to suggest otherwise...

I also want to buy one of the new platinum Royal Arms 1oz coins before the price goes to the moon - come on Royal Mint, release it in the UK please!  

[Stuntman]

Cheers.  I've been buying platinum intermittently since August 2018, accumulating steadily over time. Am up on what I paid by about 10% overall and i reckon it's still really cheap.

[sixgun]

7 hours ago, vand said:

I am not surprised at the recent action. If you study its history, silver always tanks when the stock market takes a big dive, behaving more like a commodity in the panic. 

It is during the reflation when it tends to do its outperforming. 

If you listen to Andrew Maguire's account of the silver market on 28th February, there was 5 years mined supply changed hands in one day. The Bank of International Settlements OTC silver options expired that day and the price had to be dumped hard++++++++

The silver price only fell $1.40 at the maximum - looking at price action before the Friday there was clearly heavy selling on those days as well. This is the usual culprits smashing the price with paper contracts - nothing to do with anything else. In previous times silver would have been smashed for weeks but it is already bouncing back. 

[Wonger]

On 06/03/2020 at 01:23, sixgun said:

If you listen to Andrew Maguire's account of the silver market on 28th February, there was 5 years mined supply changed hands in one day. The Bank of International Settlements OTC silver options expired that day and the price had to be dumped hard++++++++

The silver price only fell $1.40 at the maximum - looking at price action before the Friday there was clearly heavy selling on those days as well. This is the usual culprits smashing the price with paper contracts - nothing to do with anything else. In previous times silver would have been smashed for weeks but it is already bouncing back. 

🤣

[sixgun]

Just now, Wonger said:

🤣

You looking in the mirror again Mr Wronger?

[Wonger]

3 minutes ago, sixgun said:

You looking in the mirror again Mr Wronger?

No but its clear you have your Silver chart upside down my friend! 🤣

[sixgun]

1 minute ago, Wonger said:

No but its clear you have your Silver chart upside down my friend! 🤣

Really - which part of that post was inaccurate?

[Wonger]

7 minutes ago, sixgun said:

Really - which part of that post was inaccurate?

As ive stated previously sixgun, your out of your league with me im afraid! 😉

See you soon at Silver $11

[sixgun]

7 minutes ago, Wonger said:

As ive stated previously sixgun, your out of your league with me im afraid! 😉

See you soon at Silver $11

You still didn't answer the question - what was inaccurate in my post?

Also i thought it was $4 silver.

[Wonger]

5 minutes ago, sixgun said:

You still didn't answer the question - what was inaccurate in my post?

Also i thought it was $4 silver.

Quite correct Silver will print $4 after $11 was and still is my opinion!😉 

[sixgun]

2 minutes ago, Wonger said:

Quite correct Silver will print $4 after $11 was and still is my opinion!😉 

i'm sure i have warned you not to stop taking your tablets.

[Wonger]

2 minutes ago, sixgun said:

i'm sure i have warned you not to stop taking your tablets.

Tick tock on Gold as well😉

[SilverGameOfThrones]

When u guys wait for silver to be $4 dollars all i see how physical silver disappear from the market

On ebay  lot of 100 generic silver already around $19 grab LAST when u can !

https://www.ebay.com/itm/Lot-of-100-1-Troy-Oz-Silver-Round-Buffalo-Design-9999-Fine-CNT-Minting/332819527254?hash=item4d7d96f656:g:08wAAOSwx5hbrT18

Keep dreaming  

[Foster88]

On 29/02/2020 at 12:47, sovereignsteve said:

I am more silver sceptical than most on here but I still accept it is classed as "money" along with gold. How much of that perception is purely historical and mental habit, it is unclear. I am totally convinced that the status of silver has and will continue to change over time, toward a more industrial metal commodity rather than money.

what is clear, is that people who continue to rely on the historical GSR as a basis for future mean reversion are mistaken IMO. Such studies take no account of the changing status is silver over the last xx years, you pick a number.

A valid question would be; do we actually need silver as money in this day and age? Surely gold fulfils that role and doesn't need a supporting cast?

The GSR continues to rise and may well continue on that path until it finds its true value. What that will be we can only guess. It may well come down, no doubt the silver bugs will see any such occurrence as a vindication of their beliefs.

I continue to hold silver just in case I am wrong, but I am close to ditching it completely. I'm just not quite there yet😜

Agreed. I started stacking silver in 2013 and gold in 2018. One of those sovereigns I bought in 2018 has gone up more than my entire silver stack.

Will it just become an industrial metal, who knows. I do know if it goes up 5-10% I’ll be selling all my silver.