Eric Sprott Discusses Silver's Prospects And Last Week's Raid With Max Keiser

Tyler Durden's picture

Eric Sprott, who according to some catalyzed the initial move lower in silver following his sale of PSLV units, to be followed by a bullish clarification that he transferred all proceeds into other silver holdings, was on Max Keiser late last week in an interview that anyone interested in the silver market should listen to. Among the key summary highlights: "I will be a buyer of silver today. I will be a buyer of silver tomorrow. We have not lost any faith in what has happened to silver." As for what happened with that instantaneous $6 dollar drop in silver on May 1: "In my mind it was just one of those raids that we experience from time to time. There was no particular reason for it. And then we end up with 5 margin rate increases. It just reeks of someone manipulating the price of silver down. I have no fear of silver here. Yes it will be parabolic, but it's going to be way more parabolic than what we have today... I believe that gold today is the de facto reserve currency. It's outperformed everything for 11 years. Silver has always been a currency, people are now treating it as a currency, and it's a very, very small market. There is no way that with roughly $50 billion of silver inventory around that we can make it a currency, so I see the price going much higher." And on the ridiculous recent trading volume in silver: "One of the things we should look at is the trading of silver in the paper markets, I mean the Comex and the SLV. Last week it averaged 1.2 billion ounces per day. There is only 700 million ounces mined in a year. There is only 33 million ounces of physical silver that is available for delivery by the commercial shorters. If something like 3% of the people that were trading silver in one day demanded physical delivery, there would be no silver on the Comex.... The key market is the physical market. I don't think this raid is going to work." Much more on Sprott's views of the silver raid and the silver market in general in the full interview.

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haskelslocal's picture

Yum tasty Silver bitchez..

JW n FL's picture

Death Of Dollar Via Gold/Silver Manipulation? (CRASH JP MORGAN!) Mike Maloney

Silver Shield's picture

Look at how much the silver market has changed since 2005...

This ain't over by a long shot.

Here are 3 Charts to give some bigger persepctive...

Whalley World's picture

After reading the FOAFOA piece on Silver, I dug deeper and found this amazing article.  They can't pry my Physical Silver with a crowbar.

Excellent read

Got Silver?

wirtschaftswunder's picture

Nope. Neither does Soros. 99% out of GLD.

Temporalist's picture

And Jana Partners sold GLD too.  Big players no longer want the shit paper except to wipe their asses.

SRV - ES339's picture

It helps to get past the CNBC headlines... he sold his paper gold and rumor is he's quietly accumulating bullion.

cowdiddly's picture

Well just so you guys know what you are up against how long this has been going on and how infitrated through every level of the economic and political landscape this silver suppression is. Essay of the month 578 long pages of silver price supression for over one hundred years. You see silver has alway been perfectly position to replace Banker scums money and they will fight to the end and the billion man march will win in the end. The Pilgrims

slow_roast's picture

My only hope is that Tulving has stock left when silver hits the $25-28 range and I call up ordering monster boxes like a fat guy orders dessert at a buffet.

Bay of Pigs's picture

I just got off the phone with them. They are doing a very brisk volume. They haven't seen much of a drop at all since $49. He told me the veteran players are buying with both hands as the weaker hands get scared out out of their positions and sell their metal. 

FWIW, Tulving is a really solid company for those looking to buy some physical. Fair prices and good service.

aphlaque_duck's picture

+1 for tulving. I ordered 100oz bars at 9AM, sent my wire at 10AM, had bars in hand *the next morning*. No muss no fuss.

wirtschaftswunder's picture

He told me the veteran players are buying with both hands as the weaker hands get scared out out of their positions and sell their metal


You never worked in sales did you?

tmosley's picture

You never worked period.

Best hit the crack again.  That dragon isn't going to chase itself, you know.

Bay of Pigs's picture

Why are you such an asshole? Dude, it was just a casual conversation. I specifically asked him about the "volume" of metal that was coming in and going out. He said they have had no drop off. They are a very well respected PM dealer but you wouldn't know that becasue you don't own any physical metal.


Arius's picture

they will get hit hard soon...just be patient...

PulauHantu29's picture

+1. It's a good site for most bullion. My brother uses it.

Smiley's picture

I still haven't seen metals flash crash down to $0.01 yet...


mogul rider's picture

just wait

it'll be here shortly now that all the fish are in the commodities pond. Holy fuck what a wipe out this is gonna be.

No I'm not kidding, if you're leveraged as many of you are you are about to get to know that September 2008 feeling of complete helplessness.


Sally at the margin desk is gonna be calling so prepare yourself



akak's picture

just wait

it'll be here shortly now that all the fish are in the commodities pond. Holy fuck what a wipe out this is gonna be.

No I'm not kidding, if you're leveraged as many of you are you are about to get to know that September 2008 feeling of complete helplessness.

You clearly have reading comprehension problems.

Is it not obvious to you by now that most precious metal holders here actually are precisely that, holders of PHYSICAL metals, and are therefore not leveraged at all?

mogul rider's picture

No I don't have reading comp problems - does it occur to you that many have margin accounts for this stuff? You clearly have not been around long AKAK

Further many people mortgaged their goddamn houses!!!


akak's picture

Further many people mortgaged their goddamn houses!!!

What idiotic and disingenuous fearmongering!

Ah yes, the vast WAVE of homeowners who have mortgaged their houses to buy leveraged precious metals!  I must have missed that particular cover of TIME magazine.

Really, is this the best that you, as an anti-precious metals troll, can do?

Hugh G Rection's picture

This post brought out the trolls like moths to a flame

tmosley's picture

Now there's advice we can all follow.


Hugh G Rection's picture

Will do.

Every cent of disposable, Ag and ammo. Plus I hit an artesian well on my property a few years back. Clean water might be bullish going forward ;-)

Creed's picture

mogul rider
Further many people mortgaged their damn houses!!!

actually he's right, people have mortgaged their homes or gone all in on 0% credit card loans to try to ride the silver gravy train to wealth

to try to say everyone here at ZH is a physical metals holder is disengenuous at best

there are numerous readers here who have lost big from $49 down

and there are more who have gone balls deep at $33+ based on rosy glow predictions found here at ZH that are going to lose their homes when the commodity crash bottoms

so, this guy may be a dick but that doesn't mean some of what he repeats from other blogs is not correct

earnulf's picture

Mortgage the house?   Nope, just buying physical what i can afford.   Perhaps some have gone "all in" in their quest for physical and maxed out the cards, it could be hard to prove they still have it when they file bankruptcy and walk away with the map.

Not that I'm advocating that particular line, I still have some scruples, unlike the TBTF and their ilk.

The smart money is still long silver, that's borne out by the physical premium over paper.     But gambling is gambling.  Don't bring more to the table than you are prepared to lose.   Then it's not gambling, it's just fun and you may take home more than you came with.

Yeah, I'm buying at 33, but even if it crashes, I don't lose the home.

Exposer of Internet Shills's picture

Then they deserve to loose thier house since it's Damn by God according to you

Hugh G Rection's picture

the silver casino... except the house has no cash in the countroom to cover the bets out on the floor.  It's a casino thats going busto when the players try to cash in their chips.


And the price of physical will go through the fucking roof.

mogul rider's picture

Not likely.


Actually it's gonna through the basement floor like a fukushima rocket with you gawking as your bank acoount gets wiped out feeding margin sally.

I am not a troll I am an owner of the precious before you were born msot likely. Your pump and dump has been called and now the pain is here.I sold my 49 dollar target within a few sheckles and bought gold with the profit. That is how you play this. Look at Turd - christ does he even have any physical?


He's playing options for christ sake. (that's your choice Turd, but many of you yap about holding!!! argghh)

Isn't that something you should consider. He's in and out 6 times month for christ sake.

I could care less but many of you went all in when you shouldn't have.



Hugh G Rection's picture

your bank acoount gets wiped out feeding margin sally.



Actually I have 0 leverage and 100% physical.  I don't played rigged games anymore, I buy the dips (coins and buillion), and keep just enough cash in the bank to cover expenses.


I'll bet you a Shirley Temple Ag is over $100 by 2012

wirtschaftswunder's picture

Lotta hardball questions in this video. I like when Max (didn't) ask about the HUGE GINORMOUS insider sale by Sprott of his own ETFs!!! Hahaha what a vid for sheep. Buy more, much more.

Hugh G Rection's picture

" My pump and dump has been called. "

Ahhh Fuck, you talked to your daughter?

JohnG's picture

That's the funniest thing I've seen in a long time akak, fell out of my chair laughing, spilled my drink too.

Bookmarked for later use!!


JW n FL's picture

the trolololololololo man is really good late at night when you are drunk / stoned or just silly becuase of lack of sleep..

palmereldritch's picture

Wow.  The wallpaper matches his haircut.

GoinFawr's picture

hahahahaha! Effing nice!

saulysw's picture

It just keeps on going....!!

Al Gorerhythm's picture

Bullshit Sprott. That shit is lining the highways. Kicking my toe on that stuff everywhere I go. Common as gum on a sidewalk.

achmachat's picture

Yes. You are right.

Common as gum on a sidewalk. in SINGAPORE.

Rynak's picture

The shit is everywhere! :-P

akak's picture

And it only costs five fiatscos to dig from the ground!

HamyWanger's picture

""I will be a buyer of silver today. I will be a buyer of silver tomorrow. We have not lost any faith in what has happened to silver.""

That's what I've always said. We're in the domain of religious faith, not serious investments.

RobotTrader's picture

Sprott sounds like Sir Thomas More in "The Tudors" right before he got his head chopped off.

FunkyMonkeyBoy's picture

Not a major of mathematics then?