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US Mint Reports Unprecedented Buying Spree Of Physical Silver

Tyler Durden's picture


Three days ago we noted that in just the first week of January, the US Mint had sold 2,221,000 ounces of silver "a number which if run-rated would be an absolutely all time monthly record," A quick glance at the tally today, shows that something very scary is going on. In the subsequent three days, the number has surged by 50% and has hit 3,407,000 ounces of silver! In just the first 12 days of the month we have already surpassed the total monthly sales of 9 separate months of 2010.

And some additional observations on what is becoming a physical buying frenzy from

An increase in 2010 Silver Proof Eagles and record-approaching 2011 Silver Bullion Eagles are the most interesting aspects in the latest US Mint sales report.

The Proof Eagle coins have seen two weekly adjustments since they sold out in late December. The latest brings them up 3,644 to 860,000, which would seem like a natural stopping point. Collectors will have to wait until the July time frame for the 2011 Silver Proof Eagles to make their appearance, according to the US Mint.

2011 bullion eagles launched  on January 3, 2011. Silver Eagles already have last year’s January record in their sight. The coins have raced to 3,407,000 in less than two weeks after their latest weekly pick-up of 1,322,000. Until January 2009, the silver coins had never topped the 3 million mark during the first month of a year. Those record sales totaling 3,592,500 may get clobbered in mere days. The all-time monthly high of 4,260,000 which was just set in November could be the next victim. As a side note, the 3,407,000 sold this month includes 469,500 of the 2010-dated issues. The US Mint had buyers order one 2010 Silver Eagle for every five of the 2011′s.

Bullion one-ounce 2011 Gold Eagles are running, but not sprinting like their silver counterparts. US Mint sales has their tally at 42,500 for a weekly increase of 29,000. As a comparison, buyers ordered 85,000 in January 2009. Inventory of the 2010-dated coins also remains. There were 53,000 at the start of the year. US Mint Authorized Purchasers must order one old for every four of the new ones.

Mike Krieger presents the following disturbing observation on this trend: "In the first 12 days
of January 3.4 million silver eagles have been sold.  I have never seen
anything like this.  The amount of physical being taken off the market
on this paper sell off is EXTRAORDINARY.  We must be VERY close to the
end." Whoever has adopted JPM's legacy paper silver short position is in
for some very troubling days ahead.


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Thu, 01/13/2011 - 15:39 | 873801 JonNadler
JonNadler's picture

silver is going down, BIG time!

Thu, 01/13/2011 - 15:42 | 873808 JonNadler
JonNadler's picture

the silver drop has already begun, it's down 20 cents;  24 by tomorrow

Thu, 01/13/2011 - 15:52 | 873861 goldmiddelfinger
goldmiddelfinger's picture

You can say that again!

Thu, 01/13/2011 - 22:29 | 875151 Malcolm Tucker
Malcolm Tucker's picture

EXCELLENT cartoon about "The American Dream"! Full of references to banksters, the FED, fractional reserve lending, debt, gold, etc....


If there ever was a cartoon argument (other than the silver bears) to buying PM this is it:


Thu, 01/13/2011 - 23:18 | 875238 FEDbuster
FEDbuster's picture

BTW the picture is of a platinum one oz. US mint coin not a silver eagle.

Thu, 01/13/2011 - 23:50 | 875281 rocker
rocker's picture

Right on. Buy them too. I have by safe full.

I thinks' the point is:  Do they make Depends large enough for Jamie Diamon. 

I hope not.  "Just Buy the Fuckn Dips."

Fri, 01/14/2011 - 01:35 | 875409 Mr Lennon Hendrix
Mr Lennon Hendrix's picture

Buy platinum.

Fri, 01/14/2011 - 01:36 | 875412 Mr Lennon Hendrix
Mr Lennon Hendrix's picture

Buy platinum.

Mon, 07/25/2011 - 08:49 | 1490180 mediaprizm
mediaprizm's picture

Truly nice post of "US Mint Reports Unprecedented Buying Spree Of Physical Silver".
Online Buying Guides

Mon, 01/17/2011 - 01:05 | 880954 VegasRage
VegasRage's picture

Yeah that sure sounds like Kitco's Jon Nadler alright. That guy never wants to face the reality that is going on.

Sat, 07/02/2011 - 12:03 | 1421204 cole
cole's picture

As in all crises investors seek refuge in real like gold and silver

Codigos postales - coches usados

Sat, 07/02/2011 - 12:06 | 1421206 cole
cole's picture

Excuse me . this is duplicate

Thu, 01/13/2011 - 15:42 | 873809 JonNadler
JonNadler's picture

the silver drop has already begun, it's down 20 cents;  24 by tomorrow

Thu, 01/13/2011 - 15:46 | 873833 DoChenRollingBearing
DoChenRollingBearing's picture

$24 tomorrow!

$2 next week!

$0.02 next month!

Ask Blythe if I got that right, OK?

Thu, 01/13/2011 - 15:54 | 873867 JonNadler
JonNadler's picture

Blythe is in a comma at the moment after that attack at the Crimex didn't work out the other day andsilver managed to come back over 29, she went catatonic.


I got three junks already DoChen, som boys is slow ain't them


Thu, 01/13/2011 - 16:35 | 874093 Robot Traders Mom
Robot Traders Mom's picture

You fucking tool. Now I have to change my name to Jon Nadler's Mom

Thu, 01/13/2011 - 16:35 | 874097 LowProfile
LowProfile's picture

I know you're being sarcastic, but silver is waaaaaay overbought at this point.  Gold is stretched too.

You all should be hoping for a (likely IMO) significant pullback.  I am!

Thu, 01/13/2011 - 17:18 | 874197 outamyeffinway
outamyeffinway's picture

Kindly explain how Ag is waaaaay overbought when it has never been allowed to trade on the free market and there are reports of physical deliveries across the world???

Thu, 01/13/2011 - 18:18 | 874547 Armchair Bear
Armchair Bear's picture

that's what they've been trained to say.


you are correct - silver has not been honestly priced for decades -  old habits die hard...


Silver's "nominal" price is irrelevant at the moment - what other commodity (esp. one with a long monetary history as silver) that is indispensible to industry trades at a lower price than it did 30+ years ago?  Answer: none.

Thu, 01/13/2011 - 18:30 | 874587 Dr. Porkchop
Dr. Porkchop's picture

This is what tingles my street sense. If the fundamentals are that silver has no real substitute, is being consumed and is in high demand for industrial use, then it should at least command a higher price. If industrial demand falls off because of another major downturn, we still have the massive money printing and debt problems which still put silver in a good position as a hedge.

The arguments that the naysayers put forth seem to be grounded in the fact that the stock market is rallying and the dollar will always be on top because the empire says it will. Generally, I find that when something grates against your common sense, it's a sign theres bullshit afoot.

Thu, 01/13/2011 - 19:04 | 874697 lawrence1
lawrence1's picture

Hey, friend, dont ask for facts and reasoning from some guys... it strains the brain and slows their train.  Just ignore ignorance and eventually they go somewhere else less demanding.

Thu, 01/13/2011 - 17:52 | 874456 Calmyourself
Calmyourself's picture

Can you expand on this or just an opinion dump and run?

Thu, 01/13/2011 - 16:36 | 874098's picture

Blythe is in a comma at the moment


A result of Blythe having her head up her colon?

Thu, 01/13/2011 - 18:19 | 874550 Armchair Bear
Armchair Bear's picture

nice grammatical pun!

Thu, 01/13/2011 - 20:44 | 874950 RockyRacoon
RockyRacoon's picture

Could just be her period.   Nah, I shouldn't say that.  But I did.

Fri, 01/14/2011 - 00:50 | 875354 delacroix
delacroix's picture

pms    precious metals syndrome

Fri, 01/14/2011 - 01:16 | 875381 CD
CD's picture

In case anybody has not yet seen Turd Ferguson's blog, you should check it out. Blythe sometimes stops by, and leaves occasional notes:

Turd, darling, I do apologize so for for the damage to your posterior regions today. But I really must insist that I have given you more than fair warning that this is my sandbox and that there is a price to pay for playing in Blythe's sandbox. I am more than happy to take your money, Turd, but it does cause me a slight twitch of guilt to watch you commoners piddle away your hard earned money gambling in my house.

Blythe suggests that you and all the other minions should read the Chris Martenson post referenced earlier on this board and on Zerohedge. You would do well to read his earlier post (The Sound of One Hand Clapping) also. As Chris notes, we make the rules to suit our ends and if the rules don't suit our ends then we change them. This is our casino. We let you play and perhaps win a hand or two, but we will not lose the game, Turd. The CFTC hearing was lovely to watch, wasn't it? 

Again, it does pain me so to receive so much hostility from you and your rabblerousers out here on these chatting boards. Especially when, for those of you buying physical, I remain the best benefactor you've ever had. 

We shall see what tomorrow brings, Turd.



Thu, 01/13/2011 - 22:45 | 875177 Jack Burns
Jack Burns's picture

A tricky operation.  But it is her asterisk.

Thu, 01/13/2011 - 16:38 | 874109 hambone
hambone's picture

20 DMA for SLV at $27.75 - seems a great time to pick up SLV @ $27.80 and set a stop at $27.50???

Potential reward - lots

Potential risk - minimal


Thu, 01/13/2011 - 17:01 | 874231 Jonas Parker
Jonas Parker's picture

If you don't hold it, you don't own it!

Thu, 01/13/2011 - 18:55 | 874667 JonNadler
JonNadler's picture

haha he's buying SLV, well at least somebody is drinking my kool aid, oh please buy SLV and not the real thing, we at JP Morgan greatly appreciate it

Thu, 01/13/2011 - 16:43 | 874139 DoChenRollingBearing
DoChenRollingBearing's picture

Well, JonNadler, look at the bright side!

You are free of her, at least while she is still catatonic.  Now might be a good time to get out of Dodge!

And kitco will always have you back...

Thu, 01/13/2011 - 16:49 | 874172 akak
akak's picture

And kitco will always have you back...

Well, SOMEBODY has to maintain the Ponzi of their fraudulent pooled precious metals accounts ---- might as well be Jonny, the man who is responsible for setting them up in the first place, after his glorious stint doing the same kind of thing over at Bank of America.

Thu, 01/13/2011 - 17:03 | 874248 DoChenRollingBearing
DoChenRollingBearing's picture

I ask for JonNadler's kind grace to forgive me announcing that:

Jim Willie CB has a new column just out!

At, probably kitco as well (hey, if it is at kitco, do our buddy JonNadler a favor and click his new employer...)

Thu, 01/13/2011 - 17:27 | 874354 Hephasteus
Hephasteus's picture

Blythe is not in a coma. She is enjoying music. Ain't nothing gonna break-a-my derivative.

Thu, 01/13/2011 - 18:23 | 874564 Armchair Bear
Armchair Bear's picture

nice pants - luckily the camera kept it mostly above-the-waist...

Thu, 01/13/2011 - 20:39 | 874938 StychoKiller
StychoKiller's picture

I always hate it when I get stuck in punctuation! :>D

Thu, 01/13/2011 - 23:31 | 875257 SWCroaker
SWCroaker's picture

Your point?

Thu, 01/13/2011 - 19:11 | 874716 Don Birnam
Fri, 01/14/2011 - 06:06 | 875548 Lord Koos
Lord Koos's picture

She is one scary-lookin', sold-my-soul-long-ago girl.

Thu, 01/13/2011 - 17:00 | 874229 THE DORK OF CORK
THE DORK OF CORK's picture

Its only going down from your perspective - the rest of us see silver rising , hold on I'm getting dizzy.

Thu, 01/13/2011 - 17:23 | 874335 JLee2027
JLee2027's picture

JonNadler, lol.

Thu, 01/13/2011 - 15:44 | 873818 faustian bargain
faustian bargain's picture

"Wake up...time to BUY."

Thu, 01/13/2011 - 15:50 | 873856 Horatio Beanblower
Horatio Beanblower's picture

Happy days are here again!  BTFD!

Thu, 01/13/2011 - 16:14 | 873990 Pladizow
Pladizow's picture

Hey, Troll Boy!

How much leverage have you taken on to short silver?

Thu, 01/13/2011 - 16:45 | 874137 f16hoser
f16hoser's picture

If you take leverage and place a C in front, add an A lose the ER and whala CLEAVAGE!



Fri, 01/14/2011 - 07:44 | 875586 Betty Swallsack
Betty Swallsack's picture

Not really.  But as you revel in your own 'brilliance', what you said was whale-a.  The word you're looking for, my illiterate friend, is 'voila'.

Thu, 01/13/2011 - 17:53 | 874461 reader2010
reader2010's picture

I piled myself big time into DGP and SLV back in 2008 when PM dropped like a rock. Closed my positions about a week ago. the charts are screaming!

Thu, 01/13/2011 - 15:44 | 873823 DoChenRollingBearing
DoChenRollingBearing's picture

Nice video!

Although we already know all that...

Thu, 01/13/2011 - 16:45 | 874153 JW n FL
JW n FL's picture

Monex sucks!

Kitco has carried the expense of the fight more so.

Thu, 01/13/2011 - 17:56 | 874472 Max Hunter
Max Hunter's picture

I have seen monex get some bad press, not just here but other places.. I've made (2) sizable orders with them over the past couple of years. I couldn't have been happier with the result. Salesman on the phone was cool, and I got my stuff in 6 business days the first time and 5 the second time..  Not plugging for them, just saying... I did a lot of research and to buy rolls of eagles, I couldn't find it cheaper when all was said and done..

Side note; I heard my first commercial ever, on the radio, for Muni Bonds... LOL  Needing some buyers I guess... Things that make you go.. hmmmmm

Thu, 01/13/2011 - 23:26 | 875243 JW n FL
JW n FL's picture

The Monex people live in south Lauderdale / North Dade... out west... so I like them! Great People! but Kitco carries the expenses of legal for the anti JP Morgue fight...


I am sure Monex does a bang up job! congrats...


But that was not my point, I should have been more clear. Sorry.




Now, as for Bashing.... 




The worst people in the world to deal with... ala!


Dear Mr. Castellano,   As you know from the below email, our office has the honor and responsibility of representing Ms. MXXXXXX.  We would appreciate confirmation as soon as refunded our client in full.  I am at a loss to understand why you required wire instructions when a credit will suffice.   In any regard, please refund the amount in full promptly and be sure to reply to me that same has been completed.   Thank you for your assistance.   Rusty Huseman   William R. Huseman, P.A. 3733 University Blvd. West, Suite 305A Jacksonville, Florida 32217 (904) 448-5552 Fax (904) 448-5653 *************************************************************************************************************************************************** And so everyone here who knows me, will know that was my Mother's order... and I called those scum bag fucks after hearing about them here!
Fri, 01/14/2011 - 09:01 | 875635 Uncle Sugar
Uncle Sugar's picture

I've bought from Gainsesville in the past without issue.

Fri, 01/14/2011 - 01:24 | 875390 bigelkhorn
bigelkhorn's picture

I am worried about silver man!! I dont know.

Alot of people think we are doomed, but there are still great ways to make money. Even while the economy is collapsing around us.

I subscribe to the guy from australia and his FFT economic newsletter at that guy has called many big events before they have happend, including the stock market crash in 2008 and the current financial collapse of the US. (currently happening) I found him from a friend last year, and he has some important work.

His oil calls are insane, and I have been making good money with them. He is well worth a look, if you want to keep two steps ahead of the sheeple out there.

I am worried about my financial future. Is anyone else nervous out there?

Fri, 01/14/2011 - 06:09 | 875551 Lord Koos
Lord Koos's picture

If you're not nervous, you're not paying attention.

Thu, 01/13/2011 - 15:28 | 873761 midtowng
midtowng's picture

It's hard to believe that so many people think that silver is worth more than scraps of colored pieces of paper. Next thing you know they will say crazy things like they don't trust the Federal Reserve.

Thu, 01/13/2011 - 15:52 | 873865 MakeMineADouble
MakeMineADouble's picture

I spit by untimely beer onto my monitor.  That was too funy

Thu, 01/13/2011 - 16:00 | 873903 knukles
knukles's picture

Could never sell that line of thought because printed right there up front on every Federal Reserve Note is the homily "In God We Trust."
Plus you can't eat God anymore than you can eat silver but you can eat a Federal Reserve Note.


Thu, 01/13/2011 - 16:08 | 873952 Cognitive Dissonance
Cognitive Dissonance's picture

I can "eat" my Silver and Gold. Or at least swallow it to fill the empty belly. The good news is that once my system "recycles" my coins, I can use them all over again.

Long rubbing alcohol and disenfectant. :>)

Thu, 01/13/2011 - 16:35 | 874095 robobbob
robobbob's picture

you can drink it

or eat it

warning, I thought I was going to die from stomach cramps when I did


Thu, 01/13/2011 - 16:36 | 874100 Pegasus Muse
Pegasus Muse's picture

That load may give you piles.  Go long Preparation H. 

Thu, 01/13/2011 - 17:06 | 874269 Cognitive Dissonance
Cognitive Dissonance's picture


LOL twice.

Thu, 01/13/2011 - 17:46 | 874432 Horatio Beanblower
Horatio Beanblower's picture

Talking about Preparation H, do you remember this...


"It may be an obvious match-up, but Johnny Cash's classic "Ring of Fire" won't be used to sell hemorrhoid-relief cream anytime soon.

The Tennessean of Nashville first reported late last month that a Florida TV production company wanted to pitch the idea of using the classic song in a commercial for Preparation H or similar products.",2933,111835,00.html

Thu, 01/13/2011 - 23:30 | 875256 JW n FL
JW n FL's picture

or you could stop by and say "hey" and we would feed you some ribs and swamp cabbage.. (Heart of Palm)

Thu, 01/13/2011 - 16:38 | 874116's picture

Plus you can't eat God


People do it every Sunday. It's called the Eucharist.

Thu, 01/13/2011 - 16:52 | 874186 High Plains Drifter
High Plains Drifter's picture

People do it every Sunday. It's called the Eucharist.


Thu, 01/13/2011 - 19:16 | 874710 lawrence1
lawrence1's picture

But, hey, there are a lot of godsuckers out there mouthing off.  An athiest friend refers to crucifixes as corpsesickles.  I´m sure that somewhere someone has made edible crucifixes... and left town fast, probably.  Go ahead, junk me for bad taste.

Fri, 01/14/2011 - 00:24 | 875326 rocker
rocker's picture

But Hey, It's better than eating shares of GE while those shareholders still buy Jack's diapers for life.

Or are they eating those diapers.  Before or After.  LOL          Not so tasty, eh. 

Thu, 01/13/2011 - 15:28 | 873764 Buckaroo Banzai
Buckaroo Banzai's picture


There, I said it.

Thu, 01/13/2011 - 15:34 | 873779 umop episdn
umop episdn's picture

Ag, female Canus familiaris!

Me too.

Fri, 01/14/2011 - 01:32 | 875403 malalingua
malalingua's picture

That's canis familiaris.  Canis -is is a third declension noun. 

"Bau-bau'' et pax vobiscum!


Thu, 01/13/2011 - 16:57 | 874218 malusDiaz
malusDiaz's picture

Silver HO's!!!!


gold Bitches!

Thu, 01/13/2011 - 15:29 | 873767 Monetary Lapse ...
Monetary Lapse of Reason's picture

The pictured coin in Pt... just saying...

Thu, 01/13/2011 - 15:37 | 873790 DoChenRollingBearing
DoChenRollingBearing's picture

Beat me to it!

Thu, 01/13/2011 - 16:11 | 873968 Instant Karma
Instant Karma's picture

Beat me too. That is a Platinum Eagle, which, the US Mint stopped making in bullion form in 2008. Platinum Eagles have only been available as proof coins in 2009 and 2010 from the US mint.

I'm not sure what's going on with silver. I was much more interested at 15-18 per ounce. Either there is a short squeeze that is continuing, or, some big money is freaking out and buying a shit load of silver. But then you'd expect to see gold moving too?

Palladium has been on fire as well, wish I had bought more at 400. Oh well.

I may be late but the whole CORN and JJG thing looks real good.

Thu, 01/13/2011 - 16:34 | 874092 False_Profit
False_Profit's picture this point, increases in ag will not necessarily mean commensurate percentage increases in au as the au:ag ratio and above ground availability are not rectified to each metal's spot price.

big money is moving in, and will push the price of ag to $45 FRNs by the end of it, we are experiencing the quickening...



Thu, 01/13/2011 - 16:55 | 874202 Selah
Selah's picture

Palladium has been on fire as well, wish I had bought more at 400. Oh well.

If Palladium goes up much further, people might start saying it's in a "bubble".

Thu, 01/13/2011 - 17:06 | 874268 DoChenRollingBearing
DoChenRollingBearing's picture

Instant!  I too have a small physical palladium position in at around $400, more of a spec really than a core holding.

I think I will just hang on to it until we get closer to its all time high ($1100 or so) then trade it in for more gold.

Fri, 01/14/2011 - 00:08 | 875299 CitizenPete
CitizenPete's picture

Beat me three.  Not as pretty as the SE. 


Though I would gladly trade an SE for the Pt ounce.

Thu, 01/13/2011 - 15:31 | 873772 gorillaonyourback
gorillaonyourback's picture

cftc meeting goin on today, any updates?

Thu, 01/13/2011 - 15:35 | 873784 qussl3
qussl3's picture

Business as usual.


Thu, 01/13/2011 - 16:28 | 874059 gorillaonyourback
gorillaonyourback's picture

4-1 in favor, jill(the shill) sommers was lone desenter she is a republican, ans scott omalia a republican also voiced concern but voted yes.  dont mean to bring in politics, dems in favor republicans not, whats it mean. also republicans have xpress the desire to repeal dodd-frank act.  remember the good ole days of the blue dog democrat(without the hate)

Thu, 01/13/2011 - 15:35 | 873780 Ragnarok
Ragnarok's picture

Where would any shorting losses for JPM appear on it earnings?

Thu, 01/13/2011 - 15:37 | 873788 whatz that smell
whatz that smell's picture

so silver futures plunge!

Stephen Falken: Uh, uh, General, what you see on these screens up here is a fantasy; a computer-enhanced hallucination. Those blips are not real. They're phantoms.
McKittrick:  Jack, there's nothing to indicate a simulation at all. Everything is working perfectly!
Stephen Falken: But does it make any sense?

Thu, 01/13/2011 - 16:06 | 873941 oddjob
oddjob's picture

WOPR:  it's only a game.

Thu, 01/13/2011 - 15:37 | 873791 LoneStarHog
LoneStarHog's picture

Anyone think that the U.S. Mint is selling 99.99% silver COATED coins? I don't put ANYTHING past this government.

Thu, 01/13/2011 - 15:41 | 873806 midtowng
midtowng's picture

How would you know? There must be a way.

I know its easier to tell with gold because of the weight and density. But silver's weight and density isn't so unique.

Thu, 01/13/2011 - 15:47 | 873839 tmosley
tmosley's picture

Flip it.  There is a very unique ring to a 99+% silver coin.  The acoustic properties of silver can't be replicated.  That's why they make "silver bells".

Thu, 01/13/2011 - 16:00 | 873904 Idiot Savant
Idiot Savant's picture

Paranoid thinking here if you ask me, but you can check with a magnet. Google it.

Thu, 01/13/2011 - 16:06 | 873942 TuesdayBen
TuesdayBen's picture

My White's metal detector would show the difference via audio and via unique graphical spectrum readout for every metal.

Thu, 01/13/2011 - 16:52 | 874183 nope-1004
nope-1004's picture

Stainless steel is also non magnetic.

Try it.


Thu, 01/13/2011 - 17:02 | 874246 midtowng
midtowng's picture

It depends. There is more than one type of stainless steel. Some are magnetic and some aren't.

  But you make a good point. Non-magnetism is too common to be a good test.

Fri, 01/14/2011 - 03:48 | 875489 Rusty Shorts
Rusty Shorts's picture

Gold and Silver is also non magnetic.

Try it

Thu, 01/13/2011 - 16:09 | 873962 midtowng
midtowng's picture

Ah yes. I forgot about the non-magnetic properties.

I don't think its paranoid thinking anymore. When gold was $300 an ounce it was paranoid, but at $2,000 an ounce...?

BTW, I just flipped a silver coin I have. Nice, crisp ring. A Maple Leaf otoh, just a dull thunk.

Thu, 01/13/2011 - 17:00 | 874226 downrodeo
downrodeo's picture

It is unmistakable when you hear it. It sounds quite nice if you aks me too.

Fri, 01/14/2011 - 01:44 | 875421 BankRiot
BankRiot's picture

They wouldn't try to counterfeit silver coins because a lot of silver gets melted and used industrially

Thu, 01/13/2011 - 18:33 | 874593 Armchair Bear
Armchair Bear's picture

molybdenum is not magnetic - only iron/steel is magnetic = right?

I heard the backing for SLV and GLD are plated bars - Molybdenum & Tungsten


whaddaya think guys?  No PM's backing them at all except for industrial silver users taking delivery?

Thu, 01/13/2011 - 20:49 | 874962 StychoKiller
StychoKiller's picture

Nickel and Cobalt have magnetic properties as well.

Thu, 01/13/2011 - 15:49 | 873851 Cognitive Dissonance
Cognitive Dissonance's picture

Melt it down if you wish to be 99.99% certain. Of course I prefer the "ring" to Silver.

Thu, 01/13/2011 - 16:40 | 874131 DosZap
DosZap's picture

If your concerned, buy a name brand bullion like APMEX.

Or, Maples.

Thu, 01/13/2011 - 16:43 | 874140 robobbob
robobbob's picture

HR 6162 gives the Treasury Sec the authority to:


Subsections (e) and (i) of section 5112 of title 31, United States Code are each amended by striking ‘quantities’ and inserting ‘qualities and quantities that the Secretary determines are’.

Thu, 01/13/2011 - 17:25 | 874347 yabyum
yabyum's picture

If your paranoia is coming on strong, and the meds are not working, buy US junk silver. Easy to buy, easy to sell, no ones going to try to fake it. I try to get the "kid" at work to but one dollar face a pay takers but they all have I-pods.

Thu, 01/13/2011 - 18:50 | 874596 Armchair Bear
Armchair Bear's picture

Junk silver (esp. circulated) is the least likely PM to be fake!


Bix Weir on silver "moly-bars"...


Fake Silver "Moly-Bars"?

Bix Weir


A while back Rob Kirby wrote an article revealing that over 1.3 million of the 400 oz gold bars may actually be gold plated tungsten.

This was a shocking revelation that will profoundly effect the gold market and yet it is the most simple of cons. Who ever checks to see if their 400oz gold bars are filled with tungsten??? NOBODY! 400 oz gold bars are handled with kit gloves by those fortunate enough to own them. They represent an astounding amount of value in such a small package. They come in special cases and are wrapped in beautiful cloths. When you buy them you are scared to touch them...who in their right mind would ever drill a hole in them to see if they are real?!

We'd better start thinking a little harder...a little smarter. It is truly amazing that NOBODY ever checks to see if their gold is .999 fine. Buyers almost always trust the markings on the bar even though they have no idea when those markings were placed there or who the refineries that produced them are connected to...

Wanna get rich? If you had no morals you could buy a low quality, unmarked gold or silver bar and "decorate" it with these tools:

This is where a big problem lies in the world of gold and silver. We have "trusted" the big guys for too long and they have abused that trust at every turn.

So let's look at how the gold/tungsten problem is related to silver. Here was my take:

Fake Gold Portend Silver Explosion

In this article I contended that fake silver could not be as easily substituted as fake gold:

"The silver situation was a little trickier than just creating fake silver bars. The problem was that, unlike gold where it is unheard of to melt down "Good Delivery" bars, large silver bars purchased from the exchanges were routinely removed from inventory and melted down to be used for industrial purposes. If the "Good Delivery" silver bars were filled with something like tungsten or lead the industrial users would know almost immediately. That kind of visibility would have called into question all "Good Delivery" metals on the major exchanges."

What I didn't fully understand at the time was that there is one public silver stockpile that rarely, if ever, removes the physical silver from their "inventory" and that is the iShares Silver ETF (SLV). Of course, I never believed they actually had all that silver they claim to but I wasn't sure how the con worked. Back in the 1980's there were lead filled silver bars floating around but they weren't hard to spot for the dealers. Lead has a density of 11.342 gm/cm3 and silver has a density of 10.501 or an 8% difference. Not that hard to spot for a professional.

But it made me curious as to what other metal might be closer to the density of silver and voila…MOLYBDENUM HAS AN ALMOST IDENTICAL DENSITY TO SILVER!

The density of molybdenum is 10.220 gm/cm3 or only a 2.7% difference and is commonly coated with silver for industrial applications! As a matter of fact there is a long list of companies who make Molybdenum bars as well as specialize in Molybdenum coating.

List of Moly Bar Manufacturers

List of Moly Coating Companies

So could it be that SLV (who boasts JP Morgan as their "Custodian") does not have .999 fine silver bars in their inventory but rather a significant supply of silver plated Molybdenum bars? Let's face it, if the banking cabal figured out that they could gold plate tungsten bars don't you think they also considered silver? Could this be the entire REASON why SLV was approved by "the powers that be" to the surprise of all the silver bugs?

As Paulson, Geithner, Summers, Goolsbee and everyone else who has been involved in the rigging of the markets has stated...


Could "whatever it takes" include flat out fraud? Of course it does!

Let's look for clues that there may be some 1,000 oz "MolyBars" floating around in the SLV inventory.

The fact the SLV has given it's controllers a considerable amount of legal leeway is no secret. The prospectus has more holes than Swiss cheese that's been shot point blank with buckshot. There are more articles covering this subject on the internet than there are bars of real silver in their inventory!

Hidden amongst it's many flaws, the SLV prospectus is carefully written to allow for silver that is not .999 fine. There is no specification as to the amount of silver required to be in their silver! Not .999, not .900, not .500, not Sterling, not plated, not coated...nothing. The original prospectus included the term "SILVER BULLION" when it was describing the silver holdings, but a year later the word "BULLION" was stricken from the prospectus. At the same time JP Morgan changed their liability as custodian from $1B to 265M+ troy ounces. OUNCES OF WHAT? Silver wrapped Hershey's Kisses?

Sure they define an "Ounce" as:

"Ounce" -- A troy ounce, equal to 1.0971428 ounces avoirdupois, with a minimum fineness of 0.999. "Avoirdupois" is the system of weights used in the U.S. and Great Britain for goods other than precious metals, gems and drugs. In that system, a pound has 16 ounces and an ounce has 16 drams."

But they never use the capitalized word "Ounce" in the context of the prospectus as it relates to silver. Any decent lawyer will tell you that it's the oldest trick in the book. Define a term with a capital letter yet never capitalize it in the context of the document. The capitalized term "Ounce" as defined is never used again. So why define it if you don't use it... unless you are trying to deliberately mislead the reader of the prospectus!

Just another con.

The same goes for the word "silver". Not once is "silver" defined or capitalized. They almost screwed up in the first prospectus by using the term "silver bullion" but they fixed that boo-boo. But the most damning evidence that the silver in SLV is not the real deal is in the prospectus and the SLV 10k SEC filing..


"However, the custodian is not responsible for conducting any chemical or other tests designed to verify that such silver meets the purity requirements referred to in the Trust Agreement."


"Silver transferred to the Trust in connection with the creation of Baskets of iShares may not be of the quality required under the Trust Agreement. The Trust will sustain a loss if the Trustee issues iShares in exchange for silver of inferior quality and that loss will adversely affect the value of all existing iShares."


Why in the world would JP Morgan take on a multi-billion dollar liability to act as custodian if they are not going to even check the silver that comes into the warehouse? Because they don't. It's just another Ponzi scheme with the illusion of grand silver deposits that never leave the watchful eye of the custodian or the "Authorized Participants".

The key to faking silver bars is that they can not be sold into the industrial market as the melting point of Moly is much higher and it doesn't have the same electrical conductivity. The SLV inventories represent the perfect resting place for "silver bars" to be stored publicly yet not removed for industrial uses. Clearly it can't be in the COMEX or LME warehouses since both exchanges can be called for delivery.

JP Morgan manages the physical silver which can only be withdrawn by this short list of "Authorized Participants"...who know where their loyalties lie!

Barclays Capital Inc

Citigroup Global Markets Inc.

Credit Suisse Securities (USA) LLC


Goldman Sachs & Co.

Goldman Sachs Execution & Clearing L.P.

Intrade LLC

JP Morgan Securities Inc.

Knight Clearing Services LLC

Merrill Lynch Professional Clearing Corp.

Newedge Group USA

PruGlobal Securities, LLC

Scotia Capital (USA) Inc.

UBS Securities LLC

Virtu Financial BD LLC

Although we really don't know if the "Authorized Participants" have any rights to remove silver since we haven't seen their contracts, we do know that they have NOT removed much silver since its inception...interesting...


Back to the "MolyBars"

Now that we know that SLV has no legal requirement to hold .999 silver bars lets look for more evidence of "MolyBars". I guess a tell-tale sign would be an increase in Molybdenum production since the announcement and introduction of the Silver ETF in 2005/2006…well what do you know...


Was it Ronald Reagan that said "Trust but VERIFY"?

I'm not going to get into the fact that the COMEX is now allowing physical delivery in ETF shares because that may be a little too "conspiratorial" for such an upstanding news service as the Road to Roota Letters.

WAIT! Bart Chilton(the New Sheriff in town)and the recently fully funded CFTC staff will surely catch on to any "funny business" going down in ETF gold and silver holdings...oops...

Let's just say I've been down this road before:

Who's the Little Man Behind the Curtain

Let's face it, the only way to regain trust in the gold and silver markets will be to completely overhaul the entire physical testing and storage system.

Basically, we need a global remelt and re-certification.

As for us little guys...this kinda makes you wish you had paid the premium for those 1oz Gold and Silver Eagles...surely we can trust the US Government...can't we?

When this is all over those of us sitting with real, verifiable .999 gold and silver will be Kings of the World...


May the Road you choose be the Right Road

Bix Weir

Thu, 01/13/2011 - 19:16 | 874733 KidDynamite
KidDynamite's picture

FYI: SLV prospectus page 28: "Silver deposited with the custodian must meet london good delivery standards"


which means:

Fri, 01/14/2011 - 00:33 | 875338 rocker
rocker's picture

Thanks for the sites. Moly bars sounds cool.  Then I saw tungsten. Thanks again.

I return the favor with this: I think Rhodium is the most undervalued rare earth because of demand.

Enjoy.  You can buy Rhodium at Kitco too.  It is in powder form. Do Not open bottles.  I own some of these.

Check out a all time chart and I think you will see a much bigger picture.

Thu, 01/13/2011 - 15:38 | 873793 gorillaonyourback
gorillaonyourback's picture

kinda worried that all the central banks are storing so much gold? but they cant store that much silver.  maybe silver will be the main source of trade between the people cuz u need to have an ample amount for all the people to use as a medium of exchange.  maybe have basket of metals on an online store that gives up to date pricing between silver and potatoes, silver and big screens, gold and gucci handbags,etc etc etc anybody think it will work?

Thu, 01/13/2011 - 16:51 | 874184 DosZap
DosZap's picture

 but they cant store that much silver.


Ft Knox is damn near empty, if the Gvt could get any Silver to fill it, they could go there.

Thu, 01/13/2011 - 17:33 | 874379 Real Estate Geek
Real Estate Geek's picture

. . . but they cant store that much silver

FWIW, the U.S. National Defense silver stockpile was once >300 Million ounces. 

Thu, 01/13/2011 - 18:35 | 874601 Armchair Bear
Armchair Bear's picture

I'll store it for them!!

Thu, 01/13/2011 - 19:07 | 874703 tmosley
tmosley's picture

Don't forget to bet against yourself with CDSs!

Fri, 01/14/2011 - 06:42 | 875557 destraht
destraht's picture

Silver is the metal of the people.  Free silver!

Thu, 01/13/2011 - 15:38 | 873794 Cognitive Dissonance
Cognitive Dissonance's picture

The increased buying of Silver might just be my Johnny Silverseed minyans spreading the word.

Or not. :>)

Thu, 01/13/2011 - 18:38 | 874609 Armchair Bear
Armchair Bear's picture

You should be right!  Start educating people and amazing things can happen!

Thu, 01/13/2011 - 15:38 | 873797 DeweyLeon
DeweyLeon's picture

I am a proud (though very small) contributor to that number.

Thu, 01/13/2011 - 15:47 | 873838 Cognitive Dissonance
Cognitive Dissonance's picture

One ounce at a time is how you build a revolution in sane thought. Thanks for your contribution to sanity.

Thu, 01/13/2011 - 16:15 | 873996 TreadwCare
TreadwCare's picture

+1 just ordered some myself.  Not 2011's though, I'm not that picky.  A silver eagle is a silver eagle . . .

Thu, 01/13/2011 - 17:54 | 874464 Selah
Selah's picture


Older is better; SAE's are getting uglier and uglier.

Same design, but Quality is suffering. Probably the dies are wearing from the heat of producing such a massive quantity past their designed capacity.

I don't know how many presses they have, but I expect their to be only one per mint or you would get design differences and accidental numismatic coins. I also don't know of any mint besides West Point producing SAE's.

Do the math on 40 million SAE's when there are 31557600 seconds in a year.



Fri, 01/14/2011 - 02:09 | 875434 akak
akak's picture

Older is better; SAE's are getting uglier and uglier.

Not just the silver eagles either.  I recently viewed a tube of "virgin" 2010 gold one-ounce Eagles, from a previously unopened tube, and they were postively UGLY, in both finish and strike.  Had they not been purchased directly from a known and highly reputable (of course) primary dealer, I would have strongly suspected them of being counterfeits.

Thu, 01/20/2011 - 14:32 | 890542 Geoff-UK
Geoff-UK's picture

Or even silver dimes.  Scary to give a whole ounce to a 19 year old neice who has an iPhone attached at the ear, and no background in Economics.

Thu, 01/13/2011 - 15:38 | 873798 SheepDog-One
SheepDog-One's picture

The local shop here has nothing! A few rounds, some bars, mostly its collector coins, until the end of the month at the earliest they say.

Thu, 01/13/2011 - 15:49 | 873852 Fernley Girl
Fernley Girl's picture

Last time I went to the coin dealer he had 2 one-oz. rounds from some place that didn't use Arabic numbers.  Couldn't decipher any of the writing on the rounds.  The only other silver he had:  a one Troy pound .999 silver gaming token from the Four Queens Casino in Vegas.

Thu, 01/13/2011 - 16:46 | 874156 barkster
barkster's picture

you need a new dealer...

Thu, 01/13/2011 - 17:36 | 874392 Blano
Blano's picture

True dat.

The coin dealer I go to is just a little rinky dink nobody operation and they always have plenty of stuff.  Even a 100 oz. bar they let me fondle one day.  Nice.

Fri, 01/14/2011 - 01:06 | 875372 JW n FL
JW n FL's picture



Rechant Metals is on that list... if your dealer is not on that list.. you are paying to, too much.

But no matter what State you live in... you can find a dealer, authorized by the US Mint.

Thu, 01/13/2011 - 15:51 | 873860 tmosley
tmosley's picture

Same here.  During the recent dip, some guy went around to every single coin shop in town and bought every ounce of non-numismatic silver they had.  The owner was so desperate for silver he was paying spot+30 cents for 5oz bars.

Thu, 01/13/2011 - 15:39 | 873799 Xibalba
Xibalba's picture

China doesn't want to buy it high.  They sell dollars and buy silver.  Dollar down, Silver down(for now)

Thu, 01/13/2011 - 15:48 | 873845 DosZap
DosZap's picture

No, just the opposite, Gold and Slvr should be going up (if it were tied to the UDSX),79.15 now.

Thu, 01/13/2011 - 16:01 | 873911 Xibalba
Xibalba's picture

not the way it works. 

Thu, 01/13/2011 - 16:58 | 874213 DosZap
DosZap's picture

Why not?.

The Higher the USDX, the less PM's are worth.

Never mind we are in agreement.

Thu, 01/13/2011 - 15:40 | 873803 bernorange
bernorange's picture

Just checked, looks like they are now available on discount!*



* see drop in spot price

Thu, 01/13/2011 - 15:40 | 873805 6 String
6 String's picture

I'd like to see the CFTC commissionars tarred and feathered, too. What a bunch of assholes.

Thu, 01/13/2011 - 15:41 | 873810 apberusdisvet
apberusdisvet's picture

Hmmm.  I wonder how long before the coins become .499 instead of .999?  I'm going to stick with bullion, but getting less available every day.

Thu, 01/13/2011 - 15:43 | 873813 rumblefish
rumblefish's picture

i placed an order with apmex in december and its hold while they wait for supply. get physical and hold on.

Thu, 01/13/2011 - 17:04 | 874256 Strom
Strom's picture

Interesting - I've placed two orders with APMEX this month (January) and have received both already. Both orders had various silver and gold bullion (non-numismatic) coins.

Thu, 01/13/2011 - 17:30 | 874366 JLee2027
JLee2027's picture

Depends on number of ounces and which product you bought. They have a whole slew of products that are sold out.

Thu, 01/13/2011 - 17:34 | 874386 Strom
Strom's picture

Yes - my point was that not everything is sold out.

Thu, 01/13/2011 - 15:43 | 873815 Dr. Porkchop
Dr. Porkchop's picture

Your lack of faith in the fiat system is noted. You are all subversives.


- Ben

Thu, 01/13/2011 - 15:51 | 873859 Grifter
Grifter's picture

^Said with a Darth Vader voice.

Thu, 01/13/2011 - 16:56 | 874207 dearth vader
dearth vader's picture

Sorry, wrong number.

Fri, 01/14/2011 - 04:01 | 875498 MayIMommaDogFac...
MayIMommaDogFace2theBananaPatch's picture

Dave?  Dave's not here!

Thu, 01/13/2011 - 17:42 | 874410 Real Estate Geek
Real Estate Geek's picture

Subversives?  They sound more like TERRORISTS to me!  Thank God for the Patriot Act!


Thu, 01/13/2011 - 16:25 | 873825 benb
benb's picture

Mike Krieger - "...We must be VERY close to the end."

I would hope so. I'm getting tired of the circus barkers telling Mr. Retail to stay away while they themselves must almost certainly be accumulating physical. Sounds like less and less are listening.

Thu, 01/13/2011 - 15:45 | 873826 Ragnarok
Ragnarok's picture

The Royal Silver Company has .99999 silver coins.

Thu, 01/13/2011 - 15:47 | 873841 goldmiddelfinger
goldmiddelfinger's picture

they should enjoy them

Thu, 01/13/2011 - 15:45 | 873828 Arius
Arius's picture

you could not tell it judging by the price...its so stupid!

Thu, 01/13/2011 - 15:45 | 873831 lemonobrien
lemonobrien's picture

Don't get too crazy. this is mainly dealers stocking up for the rest of the year. If they were actually selling that much I'm sure Apmex would've run out of their Mint Directs.

I did buy a Kilo coin over december; but i'm saving up to buy another 10 ounces of gold; and I found a good deal on silver locally; morgans for $20; buy 15, that's a little over 10 ounces and less than spot. and will be good in a crisis for food.

Thu, 01/13/2011 - 16:10 | 873966 kadriana288
kadriana288's picture

It looks like Apmex is out of 2011 Eagles. They have Jan. 14 and Jan 21 dates next to them.

Thu, 01/13/2011 - 16:44 | 874150's picture

morgans for $20

That's more than $2 under spot.

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