London Silver Implied Lease Rate Update March 12, 2025
Further to yesterday’s post regarding tight physical supply in the London silver market, Robert Gottleib has provided an update on the March 12, 2025 London implied lease rate for silver.
Robert shows an implied silver lease rate of 7.3% in London (vs. 9% yesterday) as well as an increasing Exchange For Physical (EFP) price spread indicating a tight physical silver market in London.
Recall that in January 2025, the lease rate for gold in London topped 10% while the implied lease rate stood at half that level.
Thus, the true lease rate for silver in London may approximate 14.5% today which speaks of a market very short of metal.
Figure 1 - Post By Robert Gottlieb Regarding Implied Silver Lease Rate On March 12, 2025; source: LinkedIn.com
Metal is flowing to / from the London market and we continue to follow market data dynamics as the silver and gold markets develop.
Best regards,
David Jensen
I appreciate the content but with well above average (professional) understanding & direct experience in financial especially pm markets -- i cannot make sense of lease rate, true lease rate, implied lease rate, average lease rate, etc. and totally missed the point.
I'm particularly interested in gottliebs writing. Please define your terms or cut to the conclusions w bulletpoints on top?
Additionally, if you or gottlieb can untangle it, 5 of my favorite fintwit colleagues are still striving today to unravel transatlantic silver market shenanigans via slv, pslv and more to show how much runway London and comex have left while physical silver off take hits record levels. Eric Kingkong9888, semper vigilant1, Bob Coleman profitplusid. Vince vbl ghost, joshphilipfair.
And who is taking lion's share of physical silver out of unallocated or paper?
So much obfuscation of ETF rules & regs, I've almost lost track of the threads end goal.
Tia
Would be interesting to see what's going on in Shanghai (the only real physical exchange) now.