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How The Comex Lost 20% Of Its "Registered" Silver In One Week, Or Where There's Smoke Of A Run, There's Probably A Run
A week ago we noted something peculiar: in one day, COMEX
depository Scotia Mocatta (one of five in the world) saw a 25% transfer of silver from "registered" (or deliverable physical) to "eligible" (or "undefined" - a distinction discussed previously, and also below). We said: "Canada's largest bullion depository (and one of five total) reclassified
a whopping 5.2 million ounces of silver from Registered to Eligible
status. In order to get a sense of how big this amount is, which amounts
to just under $238 million at today's fixing price, it represents just
over 25% of the total silver stored at Scotia Mocatta, and about 5% of
the total silver held across all depositories." The reason then given was: "due to a reporting reclassification, 5,287,142 t oz was moved from Registered to Eligible." To our (lack of) surprise, a quick glance at today's silver holdings at the Comex confirms that the trend of reclassification is continuing unabated, and total "physical" silver across the entire Comex universe has now plunged by almost 20%, or from 41 million ounces to 33 million ounces, in the span of one week! And while last week it was Scotia Mocatta, today it is HSBC and the Delaware Depository, and the reason given: "Adjustments include reporting classifications of t oz that were moved from Registered to Eligible. Please see Special Executive Report reference 5736 for additional information. http://www.cmegroup.com/tools-information/advisorySearch.html#." And a further drill down reveals the following link. Many have speculated that there could well be a run on physical silver. But for those looking for a smoking gun, this is probably as close as you will get to one, short of JPM actually declaring "force majeure."
This is from April 20:
And this is from today (link):
As for the detailed reason provided by the CME, we get the following:
A correction to the COMEX Metal Depository Statistics Stock Reports published on April 27, 2011, has been made to reflect a change in the reporting of metal from the Registered category to the Eligible category. This change reflects paper warrants that have yet to be converted to electronic form. The metal represented by these paper warrants, which will now be reported in the Eligible category, will continue to remain eligible for delivery against COMEX futures contracts provided holders of the paper warrants convert them to electronic form.
Exchange metal reported in the Registered category represents troy ounces of metal that meet the contract specifications as defined in the Exchange Rules for which an electronic warrant has been issued.
Exchange metal reported in the Eligible category represents troy ounces of metal that meet the contract specifications as defined in the Exchange Rules for which an electronic warrant has not been issued.
So, a rather odd last minute paper to electronic contract conversion, which mysteriously results in a 20% drop in the physical silver across the entire Comex universe? And this coming at a time when silver is within cents of breaking the all time nominal high? Sure, we'll buy it. But perhaps the Comex can tell us just how many more such "warrants" exist in the system, and whether when all is said and done, where it says 33,322,807 million ounces of registered silver (where it was 41 million last week), it won't be zero, or, who knows, negative?
We, for one, won't wait to find out and demand delivery only when said number hits zero.
And as a reminder for those unfamiliar, here is a distinction between "registered" (real) and "eligible" (somewhat "questionable"), courtesy of SilverAxis
For
those who aren’t familiar with the terminology, the registered category
of COMEX warehouse bullion stocks generally refers to gold and silver
bars against which COMEX warehouse receipts are outstanding. The COMEX
publishes these stocks on a daily basis and they can be found here:
Silver | Gold. The registered category is the total pool of gold and
silver available at any time to meet delivery requirements under
expiring futures contracts or to establish initial futures contract
positions through a transaction called exchange-for-physicals (I’ll
explain this another time). It is important to realize, however, that
many parties holding COMEX gold and silver in registered form have no
intention of making their holdings available for delivery. By this I
mean that such parties are neither (1) holding a short futures position
against the warehouse receipt nor (2) willing to sell their registered
metal (warehouse receipts) to a party with a short futures position.
Indeed, a substantial portion of those holding registered metal would
have acquired the COMEX warehouse receipts by holding long futures
positions for delivery. In other words, these registered stocks are held
for investment and not for commercial purposes.In comparison,
the eligible category of COMEX warehouse bullion stocks generally refers
to bullion held in the warehouses that meets the specifications of an
acceptable COMEX bar (proper weight, size, purity and refiner) but does
not have a COMEX warehouse receipt issued against it. For example, an
investor might purchase several 1,000 oz. bars of silver from a dealer
and then deliver the bars for allocated storage at a COMEX warehouse.
This is a private arrangement and has nothing to do with the COMEX.
Unless these bars are officially registered (the easiest way to do this
is through the aforementioned exchange-for-physicals), they will remain
in the eligible category until withdrawn from the warehouse by the
investor. Thus, the appropriate way to treat eligible COMEX warehouse
bullion stocks is that they represent metal that could potentially be
registered at some point in the future but cannot presently be used to
make delivery under a short futures contract.
h/t Dr Derivative
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LMAO
Day-umm guy, I feel your pain.
Comments welcome on this scenario: Rental townhome in FL, steady rental income since we bought it while prices still were inflating. Paid $172k, value peaked over 200k, now in the low 160s. Property manager handles all (we're out of state). After taxes we're just slightly in the black. Don't need to sell it, but should we just short this thing? The town and neighborhood are excellent, lots of snow birds, retirees, low crime, lots of medical jobs, believe it or not just outside the hurricane zone. Thanks!
You're way too vague to give a direct answer on your situation. The thing I've found is banks are difficult to do mods or shorts with. If the renter keeps paying the bills, the bank won't be motivated to short it as much.
Everybody's comments.have made me decide to hold off on low end real.estate.for now.
I definitely don't need those middle of the night sewer emergencies and having to deal with renters.
"US property will drop another 10% this year, and the next.. and the next! At $20k a house you're losing $2k in capital value per annum for every $4k you pick up in rent ...stay well away from property for oh about the next decade (no kidding)"
Martin Armstrong's cycle work suggests that the current downtrend in real estate values will continue until 2032
study the history of financial bubbles and what happens when they pop - it usually takes a full generation before the once-bubbly asset category comes back into favor - peak real estate values were mostly in 2006, add 26 years for a 'generation' of adults and we also get 2032 as the year when real estate might return to favor (become more than a utility)
golden books yep?
I guess with the SONY game network down there's more time to check on all the PM just laying about.
seems as if their network was hacked...
http://kotaku.com/#!5795913/sony-comes-clean-playstation-network-hackers-have-stolen-personal-data
Microsoft are getting desperate now!
got net? i mean ".net." governments all over the world went "all ape" when Microsoft came up with that idea. Interestingly "some people still hate AOL because they have their own internet."
probably CANADIAN MAPLES... hell thats counterfiet money... i bet the cia went up north and siezed it all before it destroyed North America crushing faith in the REAL US dollar
.
we need better lasers
Well....it's about time to find out what Asian metal traders think of Bernanke's little white lies ....and now this.
I bet the Morgue isn't gonna like it.....8:00am in Tokyo...I believe TOCOM trading begins there in an hour.
$48.35 as Sydney wakes up.
I've never understood why the 3 day Kitco chart doesn't show Tokyo.
freak me out...you're right. I never noticed. TOCOM is certainly not the biggest in the gold trading realm but it's not peanuts either...
Aye laddie, but a bright, shining, radiant spot.
Sky shine mate
math punk has left the building.........
Like I said, it's a "One Market" trade.
SPY, IWM, GLD, SLV all the exact same item.
You could go long any one of them and make the same amount of money.
Uh,... no.
YTD:
SPY = +7.89%
SLV = +55.8%
I suspect even "Dangertime" could tell the difference between 8 and 56...
Fascinating... Mr. RobotTrader earlier this week called a top in silver and was offering to sell all his silver to anyone in the general LA area. Now, he is acting as if he called the contuined move upwards. It seems he has an uncanny ability to make market calls based on hindsight. A true BS carnival barker.
oops, typo. You wrote 'money' when you meant to type, 'purely symbolic, completely worthless tokens.' Remember, the endgame is playing out and fiat in hand is becoming a game of musical chairs when the music ends..
http://www.google.com//finance?chdnp=1&chdd=1&chds=1&chdv=1&chvs=maximized&chdeh=0&chfdeh=0&chdet=1303946087607&chddm=31280&chls=IntervalBasedLine&cmpto=NYSE:GLD;NYSE:IWM;NYSE:SPY&cmptdms=0;0;0&q=NYSE:SLV&ntsp=0
silver might want to get erased there....
if that's the case then why worry about diversification. you're always mocking those of us who have just one investment, and now you are undermining your own position.
+1
Ouch that's going to leave a mark.
the delusional retards of Elliott Wave International are still sticking their '5' ending waves on Gold and Silver. It's only their 200th attempt to call a top in 14 months and will be their 200th trip over their size 19 clown boots to fall flat on their big red nosed faces
the clown that is Steven Hochberg is calling for a swift return to a downtrend right in Silver about now. How this total idiot, who has called it wrong week in week out for a year, thinks he has any 'expertise' to predict a top having failed everytime he tries beats me! Does this peanut brained twat think he has any credibility with subscribers having screwed them out of this PM bull market with his shrill top calling failures?
How is it Elliott Wave 'experts' keep their jobs after months of constant unremitting failures?
Probably because its President, Rob 'clueless' Prechter, is also a complete loser. His predictions for 2010 were wrong 12 months out of 12 calling for tops in the US Indexes, tops in the Metals and calling for a Dollar rally. Wrong on all counts Rob the Nob
I suppose it's hard to sack your totally incompetent staff when your own predictions are also an unrelenting sack of shit eh mate???
Eliott Wave have had to snuff out the subscriber star ratings on their Free (Fraud) Updates because they're getting below 3 stars for average and decend into 2 (for crap) and 1 stars (for shit). They don't like negative feedback generated by their own failures. Free Updates grossly misreperesent these clowns ability to predict to hook in the unsuspecting with the scam they predict accurately.
Don't become an EWI subscriber because you'll see within months the organisation is a total sham of failed predictions, binned charts, incompetent wave counts and a disaster for any investor that follows these delusional frauds
Elliott Wave International : 2010 worst predictions on all Indexes, beaten by all peers
Rob Prechter, Steven Hochberg et al : most delusional retards in their own (in)ability to predict markets
Elliott Wave Theory : a total sack of shit (as proved statitically beyond doubt in 2010)
Ron Rosen called a top in silver and gold back in February. Hee hee hee. What a tard. Funny how I haven't seen any recent articles from him. His delta timing sucks.
Moriarty is feeling a bit of a sting too right now, I would imagine. Though he's been awesome so far this year for inadvertently calling buying opps.
"Hi my name is Bob, and I'm a top caller"
too funny
I love his site, but the top calling blows and is not contructive as who knows what silver will end up at
the perma bulls have bee right so far, and if i hadn't loaded My AG boat at $6 back in the day, i would have been all over that $9 sale in the fall of 2008
Prechter should be starring on Broadway in "death of a clueless salesman"
Heh, agreud.
Ron Rosen has 'disappeared' has he?
the problem is the frauds at Elliott Wave International don't! Rob Prechter had his nose wiped across the floor and rubbed deep in the doo doo by Jim Sinclair last year on the PM's. At least he's given up but still attempts, and fails, to pin tops on the Indexes - failed yet again in April which makes pretty much 15 months in a row (a washout and complete whitewash of Prechters retarded ever failing wave theory)
But Prechters delusional retards, like Steven 'non-stop shit' Hochberg keep guffing on 3 times a week like they know something when week after week he constantly fails (he must be thick as shit to keep going so long!)
EWI can't shut up about other organisations, Hedgies and Govt being incompetent, delusional and over-extended. Yet nobody is a bigger clown show and unrelenting failure than EWI. They truly are 'contrarians' ..contrarian to all reality their Waves haven't a clue where markets are heading (precisely what 2010 proved ansd 2011 continues to prove)
I emailed Rosen many times telling him his predictions and theories were next to useless. He never once acknowledged his blatant errors in any of his articles. Fuck him.
Yep there's a lot of shiesters and frauds about ...did I mention Elliot Wave International?
yes, that guy is totally discredited
if you have to follow these top callers, your going to lose
Give 'em a break; they've accurately predicted 200 of the last two corrections...
+1
This needs to get posted on Mish's board. Bunch of clueless EW'ers over there as well.
Mish traded OUT of silver today and shifted into gold. Not a terrible move by any means, but nobody seems to get the silver story over there. Why, I'm not sure.
Turd beats all these guys hands down when it comes to PM's. Not even close.
I'm getting to the point where I'd buy gold instead of silver (I'd like a better balance), but not to the point where I'd trade out yet, as I believe the GSR still has a ways to fall.
Sprott says single digits.
http://www.zerohedge.com/article/eric-sprott-expect-gold-silver-ratio-hit-single-digits
Bay
Prechters clowns are still flogging their Elliott Wave Theory books and DVD's. But their crapology failed unrelentingly throughout 2010 on all Indexes, Gold and Silver and with every call for a US Dollar rally against a basket of other currencies
How can you sell 'expertise' when the EWI experts themselves are a bunch of incomptent clowns?
How does the pontificating Prechter think anybody will buy his precious metals books when he was wiped across the floor and his EWI crones were smashed out of the ball park by all their industry peers throughout 2010 (still being hammered in 2011)?
Either Prechter is totally fuking delusional or an absolute fraudster. There can be no other opinion given their complete failure (whitewash) right through 2010 on all markets
I like Mish but for Christ's sake can he admit that the deflation thing just isn't looking good?
Tell you what after reading FOFOA's latest I am damn close to cashing out silver and going to gold myself. I am losing faith in silver fundamentals and I think I get the silver "story"
Thanks, just read your comment; have read fofoa too, and just re read his last post. Think I will go to 50/50 silver/gold. Not sure what you mean by the silver "story"... could you clarify?
Rabid chartists are rabid, to the point of carrying water for the tape-painters who abuse their naivety of "markets."
Why any waver would believe that a rigged casino would follow free-market valuation patterns is beyond me. My guess is that they are so focused on recognizing and labeling their waves, they forget why they exist, never bothering to challenge the underlying assumptions.
Or they just don't care (or understand), and choose to keep the faith instead. After all, these people are paying fiat for the privilege of their delusion, so you really can't expect them to detach. Then there's the high priests who earn a living divining the wave count. Since they've got a paycheck at stake, there's little hope for them, either.
Yet another chapter of Plato's "Allegory of the Cave," where the shadows known as the wave becomes confused with the market it represents.
Elliott Wave International IS A JOKE! It has too be a sidegame for extra profits for the rich...kinda like those ultra ultra ETFs.
I joined EWI in April 2009 and lasted a total of 3 months until I realized that either EWI doesn't have a clue or they are gaming their customers.
Danerics is another site that has faithfully kept the short squeezes alive. You can lump in Xtrends also. They are all clueless IMO
my private bankers recommended them ...they must have made a mint out of me
i seriously wonder if Prechters sham show is another front for the bigger 'players' to fleece small investors...Elliott Wave can't even beat a fuking coin toss which shows you what a bunch of tossers EWI are
cheers for the tip on Danerics and Xtrends ... here's another Elliott Wave idiot who's waves have just been turned inside out on the Euro/USD and Nasdaq Index (note no comments allowed)
Sid EW : http://elliottwavepredictions.com/
T.S. Eliot waves...
The naming of waves is a serious thing,
One must get it right before the bell rings.
If wave 1 is charlie, and wave 2 is moe,
It's not 'til the third that you're likely to know,
The lines on the charts that quiver and jump
Are as good for predictions as the farts from your rump.
we're all being junked ...there's an Idiotician about
No, someone is holding his kid on his lap and letting the child
amuse itself by clicking the 'junk' button and making the number change.
Nights and weekends are the most often occurrences of this cute phenomenon.
BlunderDog;
I LOVE it. From 'The Naming of Cats'.
But the In'F'able name of a wave is the shit.
Fibonacci would cream if his series had wit.
Hahaha....that's telling them Zero.
<------ DANGERDOUCHE YOU MISSED A JUNK!
Quick junk twindrives too!!!! Junking the whole thread will make up for the bath your taking on your SLV puts... HAHAHAHAHAHA.
Fucking loser troll.
My favorite Prechter quote was when he was asked to name the most accurate forecaster, about 15 months ago. Prechter named an Astrologer! Absolutely unbelieveable. And some people actually started following that Astrologer, until his doom-and-gloom predictions of an event last Summer missed by a mile.
That kind of says it all.
Prechter makes a stopped clock look good
"standard deviations." got some people's attention in 2008 so I hear. does it work to the upside though? interesting question.
Not too depressed, hopefully.
Doubtless, now the real hand to hand, tranche warfare will start sooner, rather than later.
"tranche warfare"
Nice Freudian slip.
I like it...
I do apologize to all of you, again forgive me for my ignorance but I don't understand the following clip. It looks like few trillions of dollars are missing. and these trillions of dollars are debt for tax payers in the books. I am sorry again but can some one please help me out.
http://www.youtube.com/watch?v=cJqM2tFOxLQ
Keep your hands off my silver, you damned dirty ape!
plus one for planet of the ape reference. Or a simpson's reference referenceing the planet of the ape's reference!
Just finishing Chapter 10 of the Life and Times of JP Morgan. What happens next?
Chapter 11. Jamie Dimon goes bankrupt Circa.2007
Chapter 12. JP Morg gets bailed out by Wank 'Bush' Paulson
Chapeter 13. Jamie Dimon goes bankrupt (again) no Silver for delivery
Chapter 14. JP Morg gets bailed out (again) by Tim 'Obum' Gitner
Chapter 15. all the above die from pitchfork wounds (it's a happy ending at least!)
Yes please.
Alternative ending.
The Guillotine Party has it's first meeting in Washington D.C. For the first time in history the reflecting pool turned red.
And then pitchforks after that? Is that asking too much?
Seems more BOJ intervention should be coming round the mountain...more and more "money" loosed on the world to debase...watching and waiting for the yen lift off.
I don't know if this has already made it to this site but this person has spotted some
mistakes on the birth certificate, one being that the name of the hospital wasn't its name at the time of issue.
http://sherriequestioningall.blogspot.com/2011/04/here-is-problem-with-o...
Interesting stuff.
Thanks.
Good spot. I would like to add something in addition.
When these laws were written times were different. We didn't have the type of travel we have today. Why is this important? Well the reason it's law that you have to be born in America to be the President is the issues of your ideas/ideals that you were surrounded with by your environment at a young and impressionable age. You were expected to have lived and experienced "The American Way" Now... if you were born here, and were flown to Libya the next day to be raised by Ghadafi, and returned to America would that be acceptable? I'm in no way saying that happened but was using that as hyperbole to elucidate my point, which is if one looks at the upbringings of Obama it clashes completely with what America stands for.
Even though/if Obama was/wasn't born here his upbringings make it hard for me to accept him as an American. Just to elucidate what a fraud I [think] this is I have to bring up the fact that Obama has made proclamations on every single Muslim holiday but barely pays any mind to Christian/Catholic times of worship...I mean he does acknowledge that these days exist but almost brushes them aside. The birther issue is complex and broad but one I find to be extremely important.
The webpage claims that the "Kapiolani Maternity & Gynecological Hospital" didn't exist under that name in 1961. But then it provides a link to another person's August 1961 birth certificate that lists the same name.
Sounds like a Phoenix University degree thing to me
an authentic BC for comparison. Susan Nordyke. born August 5 1961-within hours of BHO at the same hospital certificate number 61-10637
http://www.wnd.com/?pageId=105347
Oh No! ...not another Democrats robo-signing fraud ...first they mass-produce faking mortgage papers now its fuking birth certificates... how many foreign born aliens have they rammed into the Democratic Party?
now computer types are jumping on document. claim its photoshopped
http://iowntheworld.com/blog/?p=73096
really, would it have been that difficult for someone to just stick the thing on a copier and be done with this?
What does seem a bit strange is that the BC's for the Nordyke twins (born August 5, 1961, registered August 11) are numbered 61-10637 (for the younger twin) and 61-10638 (for the older twin). But for the President (born August 4, registered August 8) is numbered 61-10641.
So if Obama was born one day earlier and registered three days earlier than the twins, why does his BC have a higher number? Proves nothing, maybe means nothing, but it seems a bit strange.
I also note that Sherrie's web page has now removed the link to the Nordyke certificate, but is still making the claim about the hospital name.
Oh man, what's going on. Secretary of state shows a fake document to the world in security council and president showing a fake birth certificate to the world? What has happaned to this country. A country which stands for freedom has turned into a country of forgers? Jes... Cris...
Wow, can't believe you're wasting our time with this crap. Yes, he's a total douche and a disappointment, but, dude, who gives a shit about his birth certificate. His mother is an American. He could've been born on the freakin' moon. he'd still be an american by law. STFU
Obama is a Keynesian! http://www.youtube.com/watch?v=gBrHkxqNT7s
My theory is that he is Saddam Husseins love child, and that his fathers dieing wish was that he become the president and destroy the US with `socialism`. Why else would his middle name be Hussein?!?
"Or it could just be an historical irony."
Romulus
Did you lose my aerial photographs?
is this a crime???
No...its a crime to question authority. Book'em Dano!
I think a lot of services have struggled trying to make educated guesses because of the new rigged system in which the free market is dead, technicals are history, and a small banking class holds the purse strings. Don't think they can't make as much on the way down. The one thing you don't know is the 'when.' Don't think they are trying to build your wealth. They will steal it from you again at some point and you will wonder how this could happen to such a smart investor as you. PMs are great, I love them, but they are a buy and keep. You cannot sell them asap when the PM market crashes. You only need to sell if you want to actually make money and you are ahead. Otherwise, they have no increased value until the point you decide to sell. Like profits on paper, but without liquidity. I know very few people who have made any money on PMs lately. Most people I know are buying to hold.
Steve Liesman is an ass clown.
yeah...he's an ass clown alright but its all a sideshow for the circus and he's well aware of right and wrong. How many here would do the same for a 300k/yr salary and perks out the arse? Nuff said.
300k? Just give me health insurance and a chance at hatefucking erin burnett and i'll kabuki theater the shit out of that side show
One of my more sane buds said that he just wanted to rub his dong in her ear while she was jabbering along on the air.
A bullet to the head would work just as well ---- maybe better.
It still probably wouldn't shut her up, though; that mouth of hers is on pure Wall Street autopilot.
or fondle those b-cups and like in junior high
Maybe she'd do a handy thru the pants.
To paraphrase the famous Al Gore quote about JFK;
"I don't know Steve Liesman."
Tyler, you are once again way off. Are you purposely misleading your readers, or are you just lacking reading comprehension skills?
No metal is leaving the warehouse. It's due to a change from paper to electronic warrants. Those have haven't converted their paper warrants had their holdings reclassified to eligible. Once they convert their paper warrants to electronic, it will be reclassed back to registered. That is it. No run on inventories, no conspiracy.
http://blog.darienwealth.com/post/4994245394/comex-explains-large-adjust...
Well...at least until we see the next step. Which will be "eligible" silver leaving the warehouse altogether....
We're entering a delivery month and no matter how you argue it there's a lot less immediately deliverable silver available now than there was a week ago.
Yes, that eligible silver could be reclassified tomorrow...but why wouldn't they have just done it today if that were the owner's desire? Why was it classified as "registered" yesterday if there were no electronic warrants issued for it?
I don't know exactly what the whole story might be, but COMEX's explanation doesn't reveal it.
When the metal leaves the warehouse, then its gone.
When it gets reclassed to eligible because the holder had not yet converted their paper warrants to electronic, nothing really happened.
It could be reclassed back with a click of the mouse.
Tyler's post is pure misinformation and propaganda.
Uhhh, that silver is owned by other people. It can only be reclassified and sold with their consent. They MIGHT just want to hold on to it.
Or, it might not be there at all. Silver that doesn't exist can't leave the warehouse.
But nevermind that. I am highly interested in your faith in their accounting. I have some Enron stock I would like to sell you. Their books are pristine, and they are poised to make HUGE profits over the coming years.
Sorry, the disinformation and propaganda is in your (BrianOFlannagan's) blog. It wouldn't have been in the registered category if it had not been converted. The CME Report is disingenuous bull. It's a whole lot more likely someone got scared because they'd been reporting property they have absolutely no legal title to as registered and deliverable and they decided they better "correct" that before all this blows up.
I wonder what the "storage fees" are for those mountains of paper? ;-)
hey guys it might be important to read this.
Typically when I capitulate that means the counter trend is about to start.
Did you say when you copulate??? Have you??? Does that mean the top in now??? Nasty troll.
The trollster has a harem and he even posted in the past how to get one. He is an M.D. and his wife is bi. LOL I guess if you call three a harem.
Say what you will. APMEX, the largest online precious metals dealer in the world just increased their best price for silver american eagles from $4.99 over spot ask to $5.49 over spot ask and delivery delayed for new orders till 5/27/11. "paper" and "eletronic warrants"!? These are blips on a screen. They mean less than zero! It's all about the physical. Keep it "cool, dry and nearby!" If you don't have it. You "don't" own it. If its written on paper its worth the paper its written on.
--Tuco Benedicto Pacifico Juan Maria Ramirez
+1 for TGTB&TU reference.
Just did a quick scan of several online dealers. Premiums for all products have nearly doubled. APMEX's cheapest 1 oz round sold for 1.29 over spot last week, now posted at 2.29 over spot best price. 1/2oz rounds now almost 2/round over spot. Forget government mint products. Seesh, the world is turning into Ebay!
Ok...you suckered me into reading what appears to be another worthless blog trying to use Tyler's audience to build traffic. That puts you and Ivars in the same worthless category.
You say COMEX has "changed" to an all electronic warrant system, when to my knowledge it's been that way since Moses was in diapers.
That's the process and it's what has always been the difference between registered and eligible silver.
Brokers who are COMEX clearing members "register" bars with COMEX by endorsing those bars TO COMEX and receiving an electronic warrant in exchange. They deliver and take delivery of those electronic warrants for their house accounts and their customers.
When a customer decides to take delivery, the electronic warrant endorsed to the exchange is cancelled and a paper warrant for a specific bar is issued in the name of the customer. The warehouse then has no relationship to that bar except as a custodian of someone else's legal property in exchange for storage fees.
No change in policy that I can see, and none indicated in SER#5736 either.
Eligible silver is CUSTOMER silver...not dealer...and not COMEX...unless and until the customer that owns it decides he wants to trade it within the COMEX system and authorizes a dealer to "register" it for sale.
your knowledge is mistaken and you are wrong about what registered and eligible inventory is.
there is no customer inventory and no dealer inventory. There is registered and eligible, very different.
you obviously do not understand the delivery process at Comex and do not know what a warrant is and what it is used for.
Your conclusions are based on that ignorance.
My blog is for people who can grasp basic concepts and have open minds. You have neither, so I wouldn't expect you to see any value in reading it.
Saying it doesn't make it so. I know exactly what registered and eligible mean. Your blog will only fool those that don't.
There has been no "change". CME disingenuously focused on one side of warrant conversion to give the impression that somehow customers had just aw shucks somehow failed to register their silver....bullshit. And you know it...which makes you an accomplice to the deception.
You called registered "dealer" and eligible "customer" - that is completely wrong.
CME disingenuously focused on one side? Huh? They laid out a process for those to convert paper warrants to electronic. Some didn't. So they were reclassed.
It's not "aw shucks" - it's "i wasn't selling my metal this month, so I'm in no hurry to complete the paper to electronic transfer". People are lazy and usually dont do something until they have to.
Deception? What deception? Inventory was reclassed. What's the deception?
The deception is you moronic conspiracy mongers crying wolf with every little announcement from Comex, SLV, LBMA or wherever. Every freaking thing is a deception, fraud and conspiracy. It's pathetic.
OK...for the sake of education I'll bite. You're correct in saying that calling eligible silver "customer" silver is technically inaccurate. But it is descriptively accurate.
A warrant is legal title to a specific bar of silver of a specific weight with a unique serial number....whether that warrant is electronic or paper.
A registered bar has been endorsed to a broker/clearing member/COMEX and those entities have a legal right to transfer ownership of that electronic warrant.
Eligible silver may belong to a corporation, broker or individual and the warrant is held EXCLUSIVELY in the name of that corporation, broker or individual and NOBODY else has the right to do anything with that bar without the express consent of the legal owner.
You can focus on parsing terms if you wish in your attempt to divert attention from the fact that eligible silver IS NOT AVAILABLE to anyone to deliver against contracts standing for delivery in May unless and until the current legal owner registers it.
There is much less silver availble for delivery now than there was a week ago. Period.
When CEF and Sprott said they coulden't fill their orders for months I quit listening to the OFlanagan type arguments. We know the bankers are completely fucking crooked, so why assume all is legit like him? That is equally pathetic, is it not?
There is no assumption of legitimacy on 'ol Brian's part. He's fully cognizant of what he's doing and it's not pathetic...it's intentionally disingenuous propaganda and misdirection. You have to have some knowledge of the reality before you can twist it so egregiously. If he sticks his miserable head up again I'll finish slicing and dicing his bullshit too.
If you think you can debate me, bring it on. You know where to find me.
Thanks Stormdancer.
This guy is over on Harvey Organ's blog spouting the same stuff.
When I read his 'Tyler is spreading propaganda', I knew he was a total toad,
but I do not know the intricacies of the COMEX, nor do I understand their procedures.
I could only smell the fart he left in the room.
Glad you were here with your brain.
it's the typical response from the ZH and Harvey crowd. Hit them with facts and logic and all they can do is resort to grade school insults.
My challenge still stands to any of you. Try to debate me on these issues, point by point, and you will lose.
You know where to find me.
Hmmm... I honestly wanted to find out more, and be educated as to the counterpoint. Echo chambers are dangerous things. Perhaps you should check yours -- see titles of past O'Flanagan posts about silver from http://blog.darienwealth.com/
Will a Silver Collapse Impact Gold?
Fake Silver Coins Seized at O’Hare
Signs of a Top: CNBC Sends Reporter to Coin Show
Silver Traders on Alert Due to Options Trades
More Misinformation from Zero Hedge
John Embry: Ebay Sales Represent the True Price of SilverAnd you have the temerity to complain about a lack of respectful, intellectually-based, reasoned argument here? You could be really easily mistaken for a fucking professional shill, whose only message is: silver is overvalued, unstable, its promoters fringe nutcases, buy gold and only gold, if any evidence should surface contrary to these beliefs, the best solution is to stick your index fingers in your ears and sing at the top of your lungs: 'la-la-la-la-la'
Your ad hominem attacks and blatantly biased opinions are supposed to convince me of your expertise and sincerity? See my comment further below, for more along these lines. Just because you are a part of the PM market and KNOW how it works does NOT mean that you are telling the truth. As part of that system why would you? Don't blame you for that choice, it's a logical one from self-preservation/Darwinian perspective. Just don't expect respect or trust for it.
you think Embry's statement was reasonable? He clearly was hyping. I have the ability to acquire any quantity of physical silver at spot +$2.25 tops and Sprott wants to tell me the real price of silver at that time was spot +$10? That's absurd. If you think the ebay price represents the true price of silver you are insane, stupid or both.
What was wrong with any of those other posts?
I was referring to the recurring pattern of rabid anti-silver sentiment, with little factual to back it up other than an underlying assumption that it should be clear why this phobia is perfectly justified. Not that there is anything inherently wrong with such an approach, just the attempt to dress it up as reasonable, informed, thoughtful analysis that is objective.
He was clearly hyping. Sure. I can buy silver at spot +2.25 tops. Just out of curiousity, what kind of silver do you have in mind, and what type did you last buy?
And there is NO difference between buying a few dozen ounces and several million, right? There is PLENTY of silver to be had at the current market price, and if someone were to TRY to buy even a few ten thousand ounces, they would have no difficulty doing so, right?
And the fact that spot price nearly passed $50 on the vaunted international bulk electronic markets proves that the statement a few months prior was outlandish? And the fact that eBay is fleecing the thousands of sheep that are willing to buy at spot +10 is just a freak event, right?
"When the facts change, I change my mind. What do you do, sir?" It's a refreshing change of pace, you should try it from time to time.
All I know is I've been reading ZH since '07 and I'm in a hell of a lot better place than almost everyone I know. I love all these people talking their views on here. Makes for some interesting reading. By the way my silver horde is up 300% since I started buying, so I can afford to pay a little more for new bullion. So as all ZHer's would say BTFD Bitchez!!! and a have a nice day.
Well done :). He's even more of a tool than I thought. I may still go back and deconstruct some more of his baloney but the crux of the matter is that CME addressed one side of the issue when they spoke of paper warrants that had not been converted to electronic (ie. "registered") without bothering to explain just how the heck they ever got into the registered category in the first place.
We're talking 8 million ounces here...roughly 1600 contracts worth of somebody's silver they've been playing fast and loose with. 8000 1000toz bars.
If it's not properly "registered" silver now, who was the authority behind the fact it was registered last week? If it was properly registered last week whose authority moved it to eligible this week?
And this...from SER 5736 (http://www.cmegroup.com/tools-information/lookups/advisories/market-regu...):
Folks, "eligible" silver always has been and always will be "eligible" for delivery against futures contracts. It's what the word "eligible" means in this context. Eligible silver is any silver that meets London Good Delivery standards for weight and purity...which means that the bar is acceptable quality for delivery within the COMEX/LBMA system.
It CANNOT be used to satisfy any futures delivery until it is "registered". It cannot be "registered" unless the legal owner of the bar and only the legal owner submits it for registration.
The owners of those bars could register that silver tomorrow. But, if they intended to do that why didn't they do it today and forego this weird flip-flop?
If it wasn't already registered yesterday what the heck was COMEX doing recording it as registered? Back 'round the mountain we go.
This SER-5736 is a truckload of smoke and mirrors worthy of Jeffrey "Fuzzface" Christian himself and I wouldn't be at all surprised if there's a consulting contract in a CME filedrawer with Christian's pecker tracks all over it.
Edit: Or maybe BrianO'Tool IS "Fuzzface" ...lol
Good work Stormdancer!
Yes, this Brian O just did not "smell right" from the get-go, and if he is not in fact Jeffrey "100:1" Christian posting under an alias, he is certainly his doppelganger. I detect yet another disingenuous, malicious Establishment shill and vicious propagandist in this person, and would like to let him know, after perusing his articles to which you linked, that he has my utmost contempt.
you seem to be arguing "someone or something actually took delivery." and that would be "after all this money stuff was winging around endlessly." i wonder: "if Maker's Mark had a specific cask for specific customers bought and paid for and when the product finally came of age Maker's Mark decided to drink the booze instead" would the customer have a problem with that?
O'flushagain?
the Comex is a modern day carinval show; everybody likes to sneek a peak at the freaks
try taking delivery from the Comex carnival, and your name goes on "a" list
private label goons will probably pay you and your a visit some dark day
I bet your blog is pretty dull, I'll stick with ZH!
i really would pay money to bear witness to their "dull blog" on "delivery day." i imagine "shall it be by rail or OTR truck, sir?" and on a good day he'll say "let the truckers have some fun." and 40,000 lbs of silver "starts rolling down the highway."
Harry... Johny... LongYawn... Danger... and now BrianO...
It is like playing whack a mole.
"Whack a troll"
And it only costs a $5 rise in silver to knock them back into the ground!
Truely the best comment of the day.
where did these trump ads come from? please stop. Stabbing my eyes out has crossed my mind.
Mirror, mirror, on the wall.....
Physical ho's!
Looks like the handoff of the silver baton has been made successfully and Asia is now running in full stride...$48.78
Oh look, one of the resident PM trolls have taken time out of his/her schedule, and downvoted every comment in this thread.
Personally, I think that's great. Now, that's sour grapes, if you're ever likely to find them.
why would he junk everyone? Not every comment is pro silver.
actually it is kinda funny now!
Reading isn't long juan silver's forte.
Betcha one of 'em's been supplied with a "AutoZap" by the nOzuchAgenZe.
Question: How long before JP Morgan and similar ilk have to start buying silver mining and royaly companies? It would seem that they are very much in need of supply. Either this, or as someone else suggested, operations are going to have to move off shore.
Once again, the criminal syndicate known as Wall Street caught with their hands in the cookie jar. Based on how badly chairman Bernanke bombed today, I suspect there is not a lot of time left.
OK, so this is not a crime and I can do it too??
call me at 800.666.666
Has anybody trademarked the phrase "fool's silver"?
Whaddaya think APMEX knows/knew about this when they doused the sheep with their plea for oz on the cheap ($3 above spot is clearing on delivery lags these days).
I'm gettin' the shakes here...
got...
to...
order...
more...
physical...
Agreed - makes no sense for APMEX to be buying at the all time highs plus above spot...market should be wanting to sell to them, not other way around. Something tells me where there is smoke, there isn't enuf physical.
Plus dollar tanking now @ $73.18...not far to go now for testing the bottom @ $70.71'ish (or whatever it is)?
Edit - make that $73.11 now
Agreed - makes no sense for APMEX to be buying at the all time highs plus above spot...
It makes perfect sense if you'll concede that we've entered a mania phase. Everyone is scrambling to buy silver eagles, regardless of spot/premium. The higher the price goes, the more frantic the buying becomes. APMEX just wants to cash in while everyone is willing to pay absurd premiums.
I think "Fool's Silver" is a go... Now, Phil (Physical) Silver is taken... I think... Tomorrow will be interesting... I don't think those with their "Certificates" will help them much either...
This is a test to see if 420 works. I am stupid enough to fall for it. P.S. Didn't work. But that would have been really cool
lmao
I've heard a lot of AG holders thinking about trading their silver for gold when the ratio gets to X. I'm sitting on a metric ass-ton of it myself (in physical form of course).
Has anyone thought about exchanging AG for PT rather than AU? I'm starting to think PT is AG circa 2001. Yeah, yeah PT doesn't really have a history of being money and it is strictly an industrial metal, but jebus, it's 16 times more rare than gold but is current valued at 1:1.2 vs gold. The above ground inventory of gold is currently about 2.2 billion oz; there's about, well, nothing in terms of PT inventory.
A few other fun facts on PT (http://www.gold-eagle.com/analysis/platinum.html):
(1) The annual supply of platinum is only about 130 tons - which is equivalent to only 6% (by weight) of the total Western World's annual mine production of gold - and less than one percent of silver's yearly mine production. Another amazing platinum trivia is the fact that more than twice as much steel is poured in the U.S. in only one day than the total world's platinum production in one year - indeed scarce!
(2) Approximately 10 tons of ore must be mined - sometimes almost a mile underground at temperatures greater than 120 degrees Fahrenheit - to produce one pure ounce of the "so-called white gold." Furthermore, the total extraction process takes six long months.
(3) All the platinum ever mined throughout history would fill a basement of less than 25 cubic feet.
(4) Although its relative weight does not contribute to its value, platinum is even heavier than gold - one cubic foot weighs a little more than 1,330 pounds, about 11% denser than gold. THAT'S WELL MORE THAN HALF A TON. Expressing platinum's weight differently, a six-inch cube of the white metal weighs about as much as an average man!
(5) Relative to volume mined, platinum has many more industrial uses than either silver or gold. In fact more than 50% of the yearly production of platinum is consumed (read destroyed) by industrial uses - unlike gold!
(6) Also unlike gold, there are no large inventories of above-ground platinum. Therefore, any breakdown in the two major supply sources would catapult the price of platinum into orbit.
What do my fellow AG holders think of this strategy should the silver:gold ratio crash?
I am a GSR trader but platinum scares me. I have not studied platinum the way I have gold and silver though. Platinum scares me because it is a purely industrial metal with a very small jewelry component and with the way I'm expecting the global economy to go I wouldn't care to rely on industrial demand at all right now.
Even silver might suffer in an industrial collapse, but at least it's got a huge (and rapidly growing) monetary/investment base to cushion (and possibly eliminate) the consequences of a plunge in industrial activity.
I'd be strongly tempted to look at platinum after a collapse in industrial demand...but not now.
Yes.
http://seekingalpha.com/article/265381-short-sellers-now-screaming-about...
the Silver short sellers are calling a "conspiracy theory" on its rise...... there's been a well publicised campaign strewn across TV and the web to bugger up JPM's (rumoured) Silver short positions for months and the shorts can't see where this 'secret conspiracy' is coming from???
...you couldn't make this stuff up ;)))
Already missed trading palladium for silver when it hit $850. That would be a great trade if silver went parobolic.
I'm not big on the idea. Here's some thoughts:
1) Try starting up a platinum blog and see how much traffic you get.
2) It's not a household name - Yukon Cornelius didn't sing "Silver and Platinum"
3) The ratios don't drive correlations a whole lot until the physical is fully accounted for and the scarcity premiums start to function off of supply/production.
bone up snoop
http://www.youtube.com/watch?v=oMlqn_Hjyi8