“We Just Can’t Get People To Stop Buying Silver”

I was exchanging emails with “Doc” of SilverDoctors.com and SD Bullion about market conditions today.  I wanted to share what he said about the silver market today:

That said, this market is insane right now.  We’re seeing an easy 8-10 fold increase in order volume and sales.   Premiums have moved big time in the past 24-48 hours…looking like my forecast that we could be looking at 2008 style premiums in the metals could be in the bag if we get any further price weakness below $14…

…things finally went nuts today.  Wholesalers and mints raising prices and extending delays by the hour, and to quote the head of one of the largest precious metals trade desks in the US:  “we just cant get people to stop buying silver!” 

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21 thoughts on ““We Just Can’t Get People To Stop Buying Silver”

  1. Of course they can’t stop people from buying silver. It’s too cheap right now.

    Just imagine Daimler would make an S class for $70,000 and normally sell it for $120,000. But now the price is determined on some fake futures market where the price is manipulated down and they sell the same car for $15,000. Again: who wouldn’t buy? Of course the company will go bankrupt. But they keep on producing because that’s what they do. The fraudulent banks don’t care. They would even buy default swaps to make the next killing.

    Dave, as you have cited before. There are no markets any more, only manipulation! Laws are only for the little people.

  2. I was talking to my LCS today, and they were saying that they’ll be getting 10,000oz of Silver Eagles next in the next week or so. They told me last week that they had received 5,000 oz last Friday, and by Monday they were completely sold out of Silver Eagles.

    One of the sales associates mentioned to me that she used to work in a coin shop in Florida and that the customers there sell more than buy. Obviously, the people in Florida aren’t beneficiaries of QE like people in the PNW. Anyway, just from my observations at my LCS, they cannot keep any precious metals on the shelf as it gets purchased quickly. As I walked out of the store, I saw all the people walking about heading for lunch and shook my head realizing that these people are about to get “skull fucked” as KD eloquently states.

  3. With this kind of demand it is hard to see how TPTB can hold silver down at these ridiculous levels for very much longer.

  4. The CME is a make believe market, see for yourself:

    850 Million oz. Annual Silver Global Mine Supply
    800 Million oz. Annual Silver used in Manufacturing
    200 Million oz. Annual coin and bar investment demand
    150 Million oz. Annual Silver deficit

    836 Million oz. CME Silver open interest
    685 Million oz. CME Silver open interest due within 90 days
    518 Million oz. CME Daily silver volume on 8/26/2015 per CME
    323 Million oz. 8/26/15 daily volume of September 2015 contract
    45 Billion oz. Daily silver volume on 8/26/2015 per Netdania
    54 Million oz. CME Dealer Inventory (unaudited)
    250k oz. – daily amount of silver coins that the US Mint cannot source or supply

    315 Million oz. SLV Inventory / approx. shares outstanding (unaudited)
    1 Million oz. Avg. Daily volume of SLV

    *only 0.3% of SLV shares change hands each day on average, as compared with CME where 50% of contracts change hands each day on average and where the front month might change hands 3 or more times each day! (per the CME, but Netdania suggests that each contract might change hands 50 times per day on average!)

    This is only possible via HFT wash trades that set the price via computers!

  5. Dave,

    I checked with my dealer of PM’s here in Ontario, Canada and he has confirmed the Silver shortage. He buys directly from the refiners all PM products including Gold, Silver, Platinum, and Palladium. They are ALL SOLD OUT of Silver and not taking ANY orders. This from the 3 largest refiners in the WORLD. I can send you the notice he sent out to all clients worldwide if you want. I won’t post it here without your permission. I’ve known this guy for a number of years and he is extremely conservative. When I read on your site the physical Silver shortage I asked him if it was true and if he could verify. He contacted the refiners directly. His notice went out late this afternoon EST to all of his clients. As I said I won’t post it here without your permission but if you want me to send it to you directly just send me an e mail. Things are about to get really crazy !!!

    1. Just checked my supplier

      No junk silver available
      No 2014 single silver eagles or monster boxes and my favorite coin the silver maple the premium is the same as the silver eagle, used to be at least 1.50 cheaper

  6. At this rate if supply continues to be constrained and demand continues to skyrocket the price of silver (and gold) could drop all the way down to zero.

    This is the new math in our new command and control economy.

  7. I bought some yesterday. The bullion dealer I called (not SD Bullion this time but I’ve bought from them several times) told me that there were 7 week delays to get silver buffaloes. I was floored. In the 6+ years that I’ve been following and buying silver there have never been any delay in getting silver buffaloes. It’s like a convenience store being out of junk food.

  8. The question , ” How is this possible … ” is asked in this very short article.

    I ask : How about an answer !!

    [ It seems to me to be not worth the effort of reading an article that has a strong flavour of ‘fear’ & ‘conspiracy’ without there being a hint of resolution in the writings ….
    … an answer to the question{s} raised. That is my humble opinion for what it’s worth ].

  9. This is simply the Emperors having their battleships being sunk. Each are so naked shorted and desperate as they got too greedy and carried their chutzpah far too long. Meanwhile, beware any desperate measures these criminals with the blessings of our Government may unleash. It’ll be the same song and dance as in ’08 but there’s nothing more the PPT can do, and derivative garbage will be a huge part of that undoing. Mark this Hairy Guy’s words on that. The Market and Mother Nature are having their forces being known as equilibrium demands, so if you’re not ready – make final preparations NOW!

  10. I just wish all this Silver demand would equate to higher prices. This correction is now 4 years and 4 months old. When we hit a 13 handle yesterday it probably represented the cheapest Silver price in history, on a purchasing power basis.

  11. Was it my imagination or was there a 4% flash spike/crash on the Dow about half way through last hour of trade?Must be a heck of a lot of algos fishing for bids above the 16.6 k level. HMM maybe the ppt’s are snookered. Chinese traders looking to cover margin back home?

  12. Of course people want silver. They know they will need it for bullets for when these vampires and werewolves of Wall Street and DC come for us through Homeland Security and illegal alien gangs. Silver will work on their leaders undead leaders. Just take a look at Chertoff’s and Hillary’s faces.

  13. Dave:
    China sold $106b in Treasuries to generate dollars necessary to sell the dollars to buy Yuan to support their Yuan following their devaluation. The U.S. didn’t want to print the cash to buy the treasuries, as that would have created more debt. Therefore, The Fed shorted the equity market. Gained 10% of $1.0T, then went long for another 10% to get their $200b round trip to give China the dollars by purchasing their Treasuries. Everyone was left whole after the last 3 days except some speculators, etc. The Treasuries are now sitting somewhere in small denominations in institutions which were shorting the market on behalf of the Fed, which will make it difficult to see.

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