Scotia Mocatta Loses 60% Of Its Physical Silver In One Month To "Reclassification", Total Comex Registered Silver Now Under 30 Million Ounces

Tyler Durden's picture

About a month ago we indicated that Comex depository Scotia Mocatta "lost" 25% of its Registered (aka Physical) silver after the vault encountered a "reporting reclassification" which saw 5,287,142 ounces of silver moved from Registered to Eligible status, dropping the vault's true holdings from 11.8 million ounces to 6.5 million. Naturally, the response from the peanut gallery was that this was a tempest in a teacup and it was "temporary" and a-ha, any minute it would reverse, and all shall be well, everyone would live happily ever after, and the Comex would actually have silver available for delivery purposes. We decided to not hold our breath. Which after pulling today's most recent Comex warehouse data appears to have been a prudent decision, because for the first time ever total registered silver has dropped below 30 million ounces, after experiencing a 5% overnight drop across the board, primarily driven by yet another 1,456,488 ounce "adjustment" of warehoused silver from Registered To Eligible at Scotia Mocatta. As of last night, total Scotia physical silver was now 4,740,447 ounces, a 24% drop overnight, and a massive 60% drop from the total which we captured on April 20. Still think it's temporary?

Oh, and Scotia was not alone: there were comparable reclassifications at both HSBC and Delaware. But the kicker: total silver at Scotia Mocatta has barely budged. The only thing that has changed is the shift from real silver to "Eligible", or that which has no warehouse receipt issued against it, or as was described previously "a private arrangement" which has nothing to with the Comex. This is non-deliverable silver! Thus, starting with a ratio of 11.8MM to 8.8MM ounces of Registered/Eligible (or 57%/43%) a little over a month ago (on April 19), the most recent Scotia Moccata physical silver now just 23.4% of the "total."  And just as troubling is that the total amount of silver available for dlivery has just fallen to a fresh all time low. Luckily, we have margin call driven liquidations such as today which will probably buy a few more days before registered Scotia silver hits 0 (but don't worry: it's only temporary).

Source: Comex

As a reminder, here is the same chart from April 20:

 

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silverstud's picture

When JP Morgan default on silver they will bring down the Comex.

Then we will be able to f*** over the bastards.

Holding on to my two thousand ounces of physical made up in bars, coin and silverware.

Kind regards

Ozzie Scott

 

Transformer's picture

"When JP Morgan default on silver they will bring down the Comex.

Then we will be able to f*** over the bastards."

Maybe, but I think, not likely.  There are many ways for them to get out of this. 

War- close PM exchanges- no trading, National Security, etc.

Bank and market closures- revaluation followed by nationalization of PM's, payoff in "new" revalued dollars as of day of closure.

Market wide financial collapse.  Everything closes down.  When reopens, you get paid as of the day it closed.

War-president declares silver a strategic metal, calls it all in, price determined by Fed.

Basically, they can change the rules whenever they want.  They don't lose and they never have.  If you hold paper, you can get screwed.  If you hold physical, consider carefully these possibilities.

It is important to note that if the markets do fail somehow, as laid out above.  All paper participants will likely be paid off as of the price on the day of closure.  Meanwhile, silver price rocket ride to the moon will have occurred along with likely high inflation.  Paper players will not participate.

The other option is that they lose control, their whole NWO plan fails.  Anything could happen.

 

JLee2027's picture

Correct me if I'm mistaken, but all those "solutions" would end COMEX as a market. So, physical price would establish itself and paper goes away.

Founders Keeper's picture

[Correct me if I'm mistaken...]---JLee2027

Hi JLee.

I agree of course that "physical" price discovery would break away from "paper."

However, my take on Transformer's point is don't expect the world today to look the same as the world tomorrow. Many so-called silver bugs hope to be sitting pretty in a world of $250/oz silver. Sadly, no one will be sitting very "pretty" when silver discovers $250/oz.

 

European American's picture

I agree with your comment and those above. No matter what level the price of gold and silver is, my questions always comes back to "And what will be the price of a loaf of bread, and will that loaf be available?" When I hear $12.5k for gold and $500 for silver, I think, as a collective we are in deep shit, even if it's temporary 5 to 10 year period.

It's going to be dicey as we transition to the other side. Even with my few ohzee's of silver and gold, my main focus is trying to grow as much organic food as I can. I prefer the sound of munching veggies to the ringing sound of gold.

theMAXILOPEZpsycho's picture

I think along the exact same lines; Gold and Silver at those prices will mean world war. Or the collapse of the system at least - which is not really a bad thing.

However, both metals should out run inflation (continue to out run inflation). When (if) we get to the point where everyone needs to own PMs the demand spike should in theory way out run inflation and people will give nearly anything to hold PMs. There were reports in Weimar germany of people buying appartment blocks for one 0z of gold.

I tend to stay like you though, and realise I'll have to navigate my way through a world of shit; but thats not to say the wealth transfer here might be the greatest is history (as Mike Maloney says)...The thing I think he discounts is the power of guns

Founders Keeper's picture

[...but thats not to say the wealth transfer here might be the greatest is history (as Mike Maloney says)...The thing I think he discounts is the power of guns]---theMAXILOPEZpsycho

Hi Max.

I like Mike Maloney too. He likely does discount the power of guns, as you say. It's extremely rare to find an expert in economics/money who also understands geo-political factors. And even more rare to find an expert who additionally understands individual ideological factors.

 

Founders Keeper's picture

[I prefer the sound of munching veggies to the ringing sound of gold.]---European American

Hi European American.

Well put. I have been blessed to never know hunger. However, other than fasting, I've skipped enough meals to know hungry. Past the headache hunger kind of hungry. Whereby a common whiff of food cooking throws me into an ugly impatient anxiety.

Gold rings hollow on an empty stomach.

 

European American's picture

Only once, when I was young and out of college, did I find myself in a financial jam and have a bare fridge. Never again I said. Self induced, or was that self inflicted, fasting is one thing (every thursday) i.e. for improving ones physical, mental and emotional health, but being a somewhat lean cyclist, who hasn't lost or gained a pound since I was a young lad, I need (want) my calories! Yes indeed, nothing like the tantalizing aroma of a potentially scrumptious home cooked meal while fasting.

 

"Past the headache hunger kind of hungry. Whereby a common whiff of food cooking throws me into an ugly impatient anxiety." LOL

 

What's going to happen to all these people who have not had the pleasure of really experiencing what Hunger truly is. There's going to be some wild behavior when blood sugar dips down into the ankles of many of the "over weight" junk food addicts. It ain't gonna be a pretty picture. God help us all. ;-O

Smiddywesson's picture

Transformer,

Yup, yup, yup!  No gurantees, even if you hold PM.  There is going to be a short period during which the countries of the world are "kung foo fighting, and man those cats were so exciting."

But, like Trans said, they will rig the game to suck up all the gain, even if you hold PM.  There is no safe path, but the holders of paper at most vulnerable.

Confuchius's picture

Never forget: Gold and Silver obey no "rules". They are "Real Money" and have been for thousands and thousands of years.

The ongoing criminal enterprise you refer to as "government" can call everything "in" and doing so should have the same success as herding cats.

No pathetic excuse for a government, such as yours, is required, in order for Ag & Au to fulfill their time honoured roles as insurance against any fiat "currency" dropping to zero value.

Confuchius's picture

Never forget: Gold and Silver obey no "rules". They are "Real Money" and have been for thousands and thousands of years.

The ongoing criminal enterprise you refer to as "government" can call everything "in" and doing so should have the same success as herding cats.

No pathetic excuse for a government, such as yours, is required, in order for Ag & Au to fulfill their time honoured roles as insurance against any fiat "currency" dropping to zero value.

Reptil's picture

Transformer, I think you're right. They'll control silver in North America. Silver is a strategic metal for the militairy. (and solar)

My point is though, that this confiscation will have consequences for the market the rest of the world. Any confiscation in the USA will make it the #1 investment anywhere else. Given the MO that plots are executed in phases, and wars develop with a runup, that gives a narrow window of opportunity for that small percentage of people that is well positioned with physical in a safe place, well connected (to buyers) and informed (about the correct price).

How is anyone that holds coins in their basement vault going to bring those to an international market past the TSA?

sgorem's picture

just where did you say you lived Ozzie? :)

bankrupt JPM buy silver's picture

tube a day keeps the doctor away...love those phils right now, so cheap...

 

www.silvergoldsilver.blogspot.com

I_am_always_right's picture

Agree SGS - phils are the best ones to buy.

I_am_always_right's picture

By the way, am a great fan of your blog site. Keep up the great work.

PS You afraid to say FUCK here or something?

VegasRage's picture

Right, it's not like the crooks didn't raise margin requirements 5 times in 8 days or anything. LMAO!

goldfish1's picture

Spot 36.79 BTFD

JW n FL's picture

but.. But.. But!!!

 

The Paper Market Said...

 

and then the others came and said that becuase the paper market said that...

tmosley's picture

BTFDBTRTP

Buy the fucking dip before they raise the premium.

SilverDosed's picture

Perfect timing, stacking like a mofo over here, thanks for the discount guys.

tmosley's picture

Well done.  I am going to hold off for a week and see where this goes.  

If this is a part of a broader move to show "deflation" as an excuse to do QE3, I expect it will get much MUCH worse.

We'll see.

theMAXILOPEZpsycho's picture

I just got paid, so I'm dollar cost averaging that over the next few weeks. I don't think we're going to get a lower low; mid 30s looks like great value to me. Looks like gold might bust a bigger move in the short term - but silver just seems so darn cheap, so thats where I'm going.

hamurobby's picture

Hey TMosley, I buy "puts" every month in slv to protect my physical gold and silver, to the dollah conversion. If it goes down in frn's, I make more frn's to buy physical. Use their system against them.

tmosley's picture

That is a good strategy, but I don't need "protection", because I can't be forced out of my bullion.  The "price" can go down all they like, all it does is allow me to buy more physical.  I don't like puts simply because they are paper, and I would rather have the physical.

Puts are great if you are in a situation where you can be forced to sell, though.

Texas Gunslinger's picture

Not so quick, Tmosely.

You might be forced to sell if the government stops funding your research.  That's one of the dangers of being reliant on government money.  

 

tmosley's picture

lol, you prove once again that you are RNR.  You proved last time that you were Mark McGolderick.

That was an exchange that took place in a single post almost a year ago.  You expect us to believe that you were here to witness it?  Bull fucking shit.  Why don't you pick a fucking username and stick with it, you God damn coward?

Also note that then, as now, you don't understand SHIT.  I get NOTHING from the prostate cancer grant.  It is paying for M&O ONLY.  My salary is paid from the proceeds of earlier projects.

You are as stupid as you are duplicitous.  Go hang yourself, you attention seeking faggot.

Texas Gunslinger's picture

To be honest, I just made that up. 

From your other posts, I knew you did cancer research, so I just randomly guessed that there was some government money there. If you work in a cancer lab, it's not difficult to assume that you're closely tethered to government money.    

Anyway, it seems you're actually admitting that the government partially funds your research, or some part of it.  Don't you think it's hypocritical of you to take government money, while at the same time pretending to be the world's nuttiest anarcho-capitalist?

Or is that just part of being a nut?

nmewn's picture

Sooo...how's the lawsuit going against your alma mater anyways? ;-)

tmosley's picture

Bull-fucking shit.  I have talked about STARTING a new cancer project.  The main focus of our lab is materials.

Stop backtracking, you worthless coward.  You have the same MO, the same intelligence level, the same irrational hatred of me, have the same ideas, have the same reactions, have the same dumb ideas as those other two sock puppets IN ADDITION TO bringing up old arguments I had with them.  Stop trying to fucking deny it.

Also funny that you think that one employee should have total control of the finances of their company, or that it is hypocritical to take back money that was stolen from you and try to put it toward good use.  It's also funny that you know exactly jack shit about anarchism.  A true anarchist would take any and all money from the government in order to tear it down.  

Go fuck yourself, Republicunt McGolderick.

Rodent Freikorps's picture

He's a Moby troll.

Why do you argue with a paid whore?

tmosley's picture

I dislike allowing lies to go unanswered.

I also love the taste of troll blood.  Every time one of these morons gets a new user ID, God sends me 72 virgins to ruin.

Edit: Interesting, it looks like Mark Mcgoldrick was banned: http://www.zerohedge.com/users/mark-mcgoldrick

As was RNR: http://www.zerohedge.com/users/red-neck-repugnicant

No wonder this moron had to get a new user name.  Bittersweet to see bannings taking place here.

TheTmfreak's picture

Be careful, you philosophers and friends, of knowledge—protect yourself from martyrdom! From suffering “for the sake of the truth”! Even from defending yourselves! That corrupts all the innocence and refined neutrality in your consciences. It makes you stubborn against objections and red rags; it dulls your minds, brutalizes you, and puts you in a daze when, in the struggle with danger, malice, suspicion, expulsion, and even dirtier consequences of your hostility, you finally have to play out your role as the defenders of truth on earth, as though “the truth” were such a harmless and clumsy character as to require defenders!

 

While I understand your statement and can give a nod, I think you might want to consider this piece of golden wisdom. Whenever you feel yourself getting sucked in, you should remember this.

Texas Gunslinger's picture

!!! HYPOCRITE ALERT !!!

!!!  HOLY COW-A-BUNGA !!!!

YOU ADMIT TO APPLYING FOR GOVERNMENT HAND-OUTS?????

WAIT A MINUTE!!  YOU JUST EDITED YOUR POST !!  WHY DID YOU JUST DELETE THE PART WHERE YOU SAY, "I APPLY FOR GOVERNMENT GRANTS ALL THE TIME" ????

CHEATER !!!

Don't be embarrassed!! 

LOL!!!

You are - by far - the biggest hypocrite in the history of the internet.  A true anarcho-capitalist would be embarrassed by you!

tmosley's picture

I edited because it was an overstatement.  I have participated in the writing of government grants.  I haven't participated in one for about two years now.  It doesn't matter, however.  I would apply for food stamps and welfare if I qualified.  Even if I bought the goods and burned them in the street.  A true AnCap would see that the evil is in the theft of the funds, not in the distribution.  It doesn't matter where the money goes after it was stolen.  It matters that it was stolen.  I suspect this vital distinction will be lost on you, since you are a troll, after all.

The government will be torn down by the very strings it attaches to it's tax money.

I realize now why you got a new name.  The previous two were banned.  Little wonder.  Such a little attention seeking faggot.  You really ought to give it up and go back to whatever decaying liberal shithole you came from.

Edit:  Also, I'm confused.  How exactly did you see that, when I edited it out within a few seconds?  You didn't reply for almost an hour.  What, are you opening a window every three seconds or something?  Something stinks about you.  You running a script or something?  You are making me think you are paid for.

Texas Gunslinger's picture

OH MY GOD !!  HOLY MOTHER OF MARY !!!!

I have participated in the writing of government grants.....

SO NOT ONLY DO YOU TAKE GOVERNMENT HAND-OUTS, BUT YOU'RE ALSO A SHILL FOR THEM, TOO???

HOLY FUCK!    TMOSELY IS A GOVERNMENT WHORE !!!!!!!!!!

LOL  !!!!!!!!!!

All I did was make a blind assumption that you get government funding, and suddenly we find out that tmosely gets so many government grants that he's been hired to help write the parameters.  !!!!!

LOL !!!

I find it truly hypocritical and hilarious that the loudest anti-government, pseudo anarchist on this site is actually a government whore!!! 

lol.

pathetic.

By the way, the only reason you edited your post is because you know I trapped you, hanging upside down in a potato sack.

 

tmosley's picture

Uhhh, no.  Why did it take you an hour to reply?  There is no way you could have known about that edit and taken that long to craft your reply.  You are using some sort of pro-tools to catch edits.  That is, you are a hired troll.  You were RNR, and you were Mark Mcgoldrick.  You have been banned TWICE, and are now back with a new username.

Congratulations, you are now outed.

Time for a new username.

Hephasteus's picture

"Congratulations, you are now outed."

WTF he was outed on his 3rd post like a month ago.

tmosley's picture

He was outed as a troll back then.  But he could have been some kid from 4chan back then.  THen he slowly revealed that he was in fact several of these other old, BANNED posters, and now he has revealed that he has scripts that capture every edit that is made on selected threads, something that only a paid operative would have.

Rynak's picture

Texas gunslinger, aka fed supporter, zing, The Axe, wirtschaftswunder, WorthlessShaftUnder, long juan silver, William the Bastard.... get a new username already...... tmosley's obsession with replying to idiots like you may be annoying, but it still is no match for the pointless waste of screenspace you are creating.

tmosley's picture

I should add that your gleeful ad hominem is the equivalent of calling a slave a hypocrite for taking food from his master--food that the slave himself grew, or was grown by slaves like him--while wanting to be free, and writing at great length how freedom would work, and how as a free man he would not immediately go mad and rape da wite womenz, or whatever foolish meme is perpetuated by those who would keep him in bondage forever.

Your own hypocrisy is lost on you, of course.  Your pro-tools can't make you look at yourself for what you are--an Uncle Tom.

bruinjoe93's picture

Texas, leave God and his mother out of this. 

Hephasteus's picture

Just don't ask to see his birth certificate. Photoshop hadn't been invented yet.

Who is the father of Joseph?

MAT 1:16 And Jacob begat Joseph the husband of Mary, of whom was born Jesus, who is called Christ.

LUK 3:23 And Jesus himself began to be about thirty years of age, being (as was supposed) the son of Joseph, which was the son of Heli.

Texas Gunslinger's picture

A true AnCap would see that the evil is in the theft of the funds, not in the distribution.  It doesn't matter where the money goes after it was stolen.....

Yeah, right.  So all that matters is the tax, not the TARP?  Or foodstamps? Or the myriad of other programs that you - and everyone at ZH - rant about everyday? The right hand is evil, but the left hand is ok?  lol.  idiot. 

Get a fucking clue. In addition to being an anti-government hypocrite/whore, you have absolutely no idea what the fuck you're talking about.  You might as well say that the problem is only the politician, not the thieving plutocrats...fuck Geithner, but Blankfein's ok in your book, right?  You are an embarrassment to anarchists everywhere.

I would apply for food stamps and welfare if I qualified....

ok, so you've just admitted that you're no different than all the lazy, jobless parasites who sit on their couch and eat Cheetos every day while pocketing government handouts.  Of course, that's not so surprising now that we know your penchant for government money.

lol 

Incredible. The more you talk, the more you reveal, the more ridiculous you become, cliff.

 

 

Bay of Pigs's picture

Hey my religious brother Slinger....cut him some slack.

It's hard for my bro Tmos to keep track of 20-30 trollers here on ZH.