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Third Largest Producer Of Silver Says Production Is Now "Totally Paralyzed" Following Week-Long Strike
In news that should move the precious metals market, we learn that the world's third largest producer of silver (as well as zinc and lead) has announced its production is now totally paralyzed. From Reuters: "A week-old strike at Bolivia's San Cristobal mine has totally paralyzed production and exports of silver, zinc and lead, a union leader said on Wednesday. San Cristobal is the world's third-largest producer of silver and the sixth-largest producer of zinc, according to Japan's Sumitomo Corp, which owns the mine." For those who recall basic central planning economics this means that silver should plunge immediately, and should react even more adversely on news that crude supplies in the US are surging. After all, oil supply demand is far more critical to silver price discovery than the actual supply of a metal that unlike gold, is used in various industrial and peacebringing applications (see Operation Odyssey Dawn).
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LOL at opening Mis
Ahem. SILVER BITCHEZ!
If someone had taken my advice to sell gold into silver on 18th October 2010, they would have been sitting on a hefty return (Gold from 1370 to 1420, 5 % or less and Silver from 26 to 37.XX a 36% return). It's the only "call" I ever made, time stamped.
I'll say the same again, now. Sell your gold into silver. Or don't. All good.
ORI
http://aadivaahan.wordpress.com/2011/03/30/sex-unnatural-oxymoron-and-comment-streams-of-consciousness/
Been sayin it so long, I'm tired. Nobody listens. Cut in production is "alright with me" !!
Q: Guess what time it is?
A: Time for you to make another call.
Cisne Negro putazzz = Black Swan bitchezzz
In Oct 2010 the gold to silver ratio was 60:1 -- it is now 38:1 so your advice might not be so handy this time.
I know. I am saying it has a lot further to correct. Pendulum+Reality.
ORI
In news that should move the precious metals market...
silver is used in various industrial and peacebringing applications (see Operation Odyssey Dawn)....
+1
++ "peacebringing applications" - ror
Don't laugh, it's called OBHA: Ordnance-Based Humanitarian Assistance.
Give Obama another Nobel Peace Prize.
Yeah... Because his "Peacemakers" pack a helluva whallop...
There is peace in death.
Rest in pieces.
So sayeth the Obamessiah, bankster blessings and taxpayer funds be upon him.
@imcru re 'OBHA: Ordnance-Based Humanitarian Assistance.'
this is pure genius hope you dont mind my submitting this for an orwell award
you sir are a double speak savant i ever hold pol offc you gotta be press officer pls man dont hold out on me then duty calls and we'll needya
hell forget me you just run and handle your own press sparring sessions
That is a good one Imminent.
How about OBAHA: Ordenance Based Assymetric Humanitarian Assistance.
Now it rhymes with certain namez, taking namez!
ORI
Yet despite news like this, and the increasing interest in CBs to own PMs, etc., the bankers apparently today have once again initiated a bear raid which is keeping PM and miner prices from rising as much as they should be.
Harvey Organ mentions these coordinated raids all the time. It's criminal collusion that should result in many perp walks. But nothing happens.
AAPL down over $2 today...Go to yahoo finance and you can see the bloodbath for yourself. Looks like the golden age of tech stocks is coming to an end! At this rate, AAPL will be on the pink sheets by the end of the year.
Goodbye Robot!!!
I maked you a tech bubble but I popped it. Ooopsie!
LOL! Good one.
What bloodbath? It is low volume down day. In fact check out DIA it probably won't break 4mil. shares! This market is gliding on lower warm air currents every week. Just like gliders when the updraft ends you either spiral down rapidly or descend orderly to try a smooth landing.
Crude
Update.
http://www.zerohedge.com/forum/99er-charts-0
"peacebringing applications"
hehehehe. That's what the Borg call it too.
And thus continues the crack-up boom alternate universe, where less oil demand equals higher prices, more bad news equals more equity inflows, and where cats chase dogs. Shortly to follow will be the return back through the wormhole into reality and descent into the abyss.
It all makes sense when you figure the unit of measure is being changed/debased.
Put another way, if someone shortened the length of an inch by 90%, we would all be over 50 ft tall. Doesn't mean we would be any taller.
Kitco...got lots of the stuff.....
Jon's loaded....
Jonny N., of Kitco infamy, is certainly full of something, but I strongly suspect that it is not silver (nor its "evil" stepsibling, gold).
see ya, gold at US5000 and silver US320 based on 1:16 ratio.
yee ha !!
Oil Demand Destruction + Silver production strike = BULLS Bitchez!
does that mean that the silver sheep dont get sheared yet?
Ha ha ha.
Like that old-fashioned supply/demand thing has anything whatsoever to do with the price of Silver. Everybody knows we've moved on from that old paradigm of markets setting prices.
Econ 360 The supply curve has been renamed the Big Ben Curve, the demand curve Tiny Tim.
Yes, that's right. We will blame the upcoming silver derivatives explosion on the STRIKERS!
Sigh.
Oh well. I've got mine, bitchez.
Unfortunately - the "paper shorts" have scabs that busted the union lines and so the factory there is still in operation...
is Blythe the strike-master ?
Somebody's playing with the boiler in this too hot, too cold market manipulation.
Bolivia nationalization bitchezz
LOL.
<3
Supply who cares about freaking supply? Oh maybe Blythe does!!
long bullets, long cruise missiles
Attica! Attica! Attica!
Wait until the entire country of Peru goes offline.
It should, but Blythe and Bitches Inc. will continue to suppress the price. I have silver pegged as trading flat/sideways for a few weeks.
37 is a good support at this point though. Of course I would LOVE to be smoking crack and totally wrong. ;-)
Prechter just lowered his stop loss on his top calling silver short to $37.80.
So much for Deflationist vision of running into toilet paper, ehm, cash
Prechter is half right. He is right in that we will have deflation. Where he fails to see is that the deflation will only be in terms of real money (gold and silver). Prices relative to gold and silver will drop. Prices in fiat currencies will not. Unfortunately for him, being half right in this case is the same as being wrong.
Excellent observation! That's what happened in Weimar.
+1
Ageed. He seems to have a real hard time making this transition. He is stuck in the commodity mentality for Ag and Au. Hope I'm around to see this all play out
My Subjectivness intuits extendend sideways until the fundamental demand pressure is fully sufficient to overwhelm the unregulated paper threats and preprog algo antics.
Breaking $38.00 and holding it is key.
$36.00 is painful, $38.00 is murder for the Bmasters Beasts.
It will cost JPM Billions.
Good thing they went to Cu.
Definitely bearish for silver. Tyler, any word on their estimated output in 2011, or the numbers from 2010? I see they had about 42.6 million ounces in 2009 (Sourve: silver institute)
Is there any way we can determine the supply lost in this strike? In 2009 they would have lost 1.2 million/week from my calculations.
The company plans to raise lead output to 76,000 tons in 2010 from 70,000 tons in 2009, while silver production will fall to 12.1 million ounces from 16.1 million ounces, he said.
http://www.bloomberg.com/news/2010-07-13/sumitomo-to-increase-zinc-production-by-4-at-san-cristobal-bolivian-mine.html
Oh so my initial thoughts still win.
"Buy more physical silver."
Thanks JLee.
Severe physical shortages of precious metals don't lead to an increase in prices?
I'm shocked, I really am.....
Tell the electronics manufacturers and jewelers to buy some paper from JP Morgan and STFU.
So the loss of another producer would reduce silver to a worthless base metal since you can't get any no how?
...At least people won't starve
They will just make more silver in the printing press to meet demand. It's simple.
Watch Peru...this could really shag everybody!!!
The global insurrection continues!
This levitatition is stocks is amazing. The banking cartels are fighting for fiat with everything they have now...
Truly fucking amazing. And JP Morgan will now settle physical delivery with paper mechanisms.
If this weren't all so tragic it would be funny.
another reason silver should plunge is that you can't eat it.
ahh, but yes you can eat it...
2001:
Johnny Silver invests his $20K in silver @ $4/oz
Fiat Freddy invests his $20K in the Dow
TODAY:
Johnny Silver’s $20K is now worth $180K
Fiat Freddy’s $20K is now worth $25K
Who’s family can now eat better?
(Note: Project out another 5 years for similar results)
I need recipes for Fedeal Reserve Notes... you can eat those, right?
Actually Silver is quite edible. Collodial Silver is intended for consumption and has health benefits. Just make sure you buy a reputable brand or you could end up looking like this guy http://www.youtube.com/watch?v=Gq8C0GknwAM
So what's next, pics of 1.9m oz being delivered to the JPM vault?
The only thing getting delivered to JPM's newly minted Comex vault is a pepperoni pizza,some Vagina cream for Blythe and a shit load of new post it notes to write all of their paper silver I.O.U.s on.
You the one from the eighth dimension?
Technically - you (FED's perspective) cannot win with silver. Ben's economy improves - silver should go up because it's industrial metal. Ben's economy doesn't recover - silver goes up too because it's recognized as precious metal & value store (in 20years there could be no silver at all).
At current rate of suppression (the money for Blythe's shorts has to come from somewhere, sorry) and inflation doing knock-knock on the door we'll soon wake up with pepsi can costing $50. But Silver will be still 38 because JPM didn't have any short derivatives position in pepsi cans.
In the meantime, an independent mediator has recommended that JPM add to their insanely bloated short position while the CFTC continues its two-year-old investigation of silver price manipulation.
Slightly more detail:
http://www.reuters.com/article/2011/03/29/mining-bolivia-sancristobal-idUSN2928870420110329
Can you say "contaigon"?
Suck it Blythe.
Suck it, you dirty cheatin' bitch.
Blythe got the order from Dimon: "Short silver or you're going to Fukushima bitch!"
You help suck it too Dimon.
Suck it, both you dirty cheatin' bitchez.
With Goldman Suchs
http://aucanary.blogspot.com/2011/03/tar-and-feathered-blankfein-co-cook...
Paper silver is just as good
Actually, I'm getting the sense that paper silver IS just as good for many of those playing the in the COMEX sandbox. Nevermind the Forwards, many will always just keep rolling it over ad infinitum, but look at those who are settling for paper + premium. The word is out, and the game seems to be stay in the market until the raunchy rotten coochie smell of default enters the room.
Yep, you heard it right, longs and shorts in the CRIMEX game DON'T want the game to end and are gladly picking up the extra change, likely surreptitiously picking up PHYS on the sly (milking the SLV udder with large 10 mil orders then collecting).
Don't expect default as soon as you may want it to appear, or as soon as it may appear 'obvious', as the LONGS are in on the game.
They keep taunting the stenchina to the door, then locking her out and giggling about it like a group of little hotos..
Now what diagnostics or tools being used with those in the know to time this event think...who knows? They do think, however, that everybody else will be out after they are. Some of them are going to get burned by the anal-prod badly.
Hook Line & Sphincter, Rectifying the Conversation
Earlier, sell off reversed when someone bid for 2 million ounces at $36.975.
How do you find that information out? Bloomberg terminal or some other mechanism?
Where can WE verify that information?
Obama's reaction: "Can't we just print more silver? I've got another round of golf to get to"
US has given Libya over 3 tons of silver. Not bad for a weeks work. It was gift wrapped in Tomahawk missiles. http://dont-tread-on.me/
A GSR of 38.001 be intolerable.
I'm very content today as I have rediscovered my double bullish item that was lost for some years. It is a 4inch high silver oil drum of 6oz that was issued as a gift for the board for the opening of a BP refinery in the netherlands in 1968. Double shortage
You highlighted the wrong words. These are the correct ones: "a union leader said"
Yall go easy on me but i cant figure this out... Why is it that there is a spot price reduction when the supply has been disrupted?? maybe I read it wrong, but I would think it would be the opposite.
Because there is only paper price. There is no premium to the spot price for physical, that just shows up as shortages. In theory they will decouple some day.
when the shotage hits the high-tech industrie we will know. Unless there is off-balance trading, read off-market trading
oh and my dicks paralized. no these bastards are pullin the oldest day trader big wig pit tradin trick in the book. the guys who 'own seats' on the exchange religiously fuk over most other traders by 'runnin stops'. they dump enough or buy enough dependin on direction of market to knock out all the poor putzes stop losses. they are stoppin us all out and then goin home to fuk their bought and paid for 12 year old sex slaves from romania in the assholes. maybe even video it too.
That would be great if those poor workers in the mines successfully negotiated a contract for compensenation that would be more commensurate with the risk and hard work associated with their profession. Other unions should stand in solidarity with them. Unions have have helped to usher in the 40 hour work week and other forms of compensation. United we stand!
And yet . . .
Here is why I am suspicious of these levels – when you try selling your silver, the even my local bullion dealers (and, in fairness, the jewelers are giving the same offer) will only give about 60% of spot! They are clearly skeptical, and they are the old hands here.
I may sell some more anyway.
Be suspicious...of you dealers...
http://www.apmex.com/SellToUS/Default.aspx
Strange. Where I live one dealers pays spot for silver rounds, another pays spot minus .50, two others pay about 4 percent below spot. In Phoenix I know at least one dealer who pay about l percent below spot and then the huge and highly reputable dealer CMI Gold and Silver pay about a percent below spot. Where do you live?
In the unlikely event that you are not an anti-PM troll I would advise you to shop your Silver around. If you are trying to sell what you would consider a large inventory start by only showing the dealer a few rounds instead of a few hundred and ask what he's paying. In fact only show the dealer one round to start with and ask what he is paying. I know dealers who all make a living and what they pay from shop to shop varies. One guy buys at a dollar below spot and another will give you spot price. Don't let somebody gouge you like that. Move on to more friendly ports of call. One dealer in town charges $2.50 over spot for Silver Eagles but will pay 25 cents over spot for the same MS ingots. If you screw up your ingots with scratches and fingerprints you deserve the penalty for not keeping them uncirculated.
they may be old hands, jasper, but i don't think they've ever been in a situation where trillions of FRN's are owed, we broke through the debt ceiling and no one said a thing, banksters have totally rigged the market, and we're soon going to crash like a coked up whore slipping on a banana peel. No, those master of some alternate reality are gonna go down fighting, and they're gonna get more and more obnoxious, arrogant, in-your-face-fuck-you-you-can't-do-a-fucking-thing-to-me-because-I'm-making-the-fucking-rules. They'll declare martial law, confiscate your gold and silver and tell you to say thank you or they'll throw your ass in a cell right next to Bradley Manning. All the while, our earnest, toothy, asshole-in-chief will steadfastly declare that what we're doing is for the good of the country. You bet they'll be subsidizing cable rates - shit, they'll probably give it free to everybody before the end, whatever the hell that looks like. Have a nice day ; )