Loading ...interesting – Can’t recall Main Stream News discussing official Silver manipulation so Matter-of-Factly before
Silver Mining Stocks May Be Safer Than ETFs Right Now
Silver Mining Stocks May Be Safer Than ETFs Right Now
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Due to developments and long-entrenched manipulative practices in the futures market that are now fracturing, silver miners may soon find themselves in a similar scenario as with OPEC, and mining stocks may well have the biggest upside potential in the precious metals industry.
A Perfect Storm Long in Development
For many decades, the CFTC, COMEX , and LBMA have supplied the paper futures market the means to artificially suppress silver prices regardless of actual supply and demand.
The triggering event was the October occurrence of unprecedented deep backwardation in the silver market, setting a new record high – a $2.88 gap with the spot market price exceeding that of the futures market. Spurred on by the artificially suppressed price of silver in the futures markets controlled by the COMEX, CFTC and LBMA, a huge influx of physical silver buying from India caught the LBMA unprepared, and with insufficient supply. Silver spot price premiums soared; the turbulence in the markets spread globally like a virus, with major bank buy/sell spreads so out of sync that successful trading arbitrage was possible.
LBMA has a history of overstating its silver inventory, with 2021’s overstating holdings by 3,300 MT its most egregious example to date. However, that is only part of the story.