Now I have only heard loosely that JP Morgan has been settling with cash at a premium. This seems likely given there were plenty of shorts in the money recently with silvers strong price rise. It is quite clear there is way more paper silver than physical silver available. Also JP Morgan look to have moved their silver short positions off-shore, to one of their banks? If silver busts the shorts will this bank be a sacrificial lamb so to speak so that JP Morgan doesn't take the heat? I don't know?
I think the recent sell-off with silver has had a lot to do with people profit taking in the new financial year, remember the financial year in other countries starts at the beginning of each year. A lot of the big sellers were immediate big buyers later on when the price dipped some 10 %. I see the weakness in silver price as temporary. Have to qualify that and say I may well be wrong. There is talk/rumors that plenty of high level people at JP Morgan and other big institutions are personally buying physical silver. Boris Becker is a pretty wealthy man and he recently made a significant gold purchase.
There is almost no doubt that the US dollar is heading for some sort of currency crisis. It is just a matter of when and how bad it is going to be.
CCU Price at posting:
57.8¢ Sentiment: Buy Disclosure: Held
