I think this interview makes clear what the primary motivation of Rachel Reeves being sent to China while facing intense criticism for being out of the country during the mounting financial crisis brewing in the UK. She was sent there IMO to plead for China to part with some of its “hoard” of silver to avoid an LBMA default on silver delivery. I would bet dollars (while they are still more valuable than donuts) that she came away with nothing. Rumor has it that China is buying silver dory bars and even concentrate direct from Latin American miners at refined prices for shipment to China for refining there. This avoids the issue of the purchases being reported by the IMF as it only reports transactions in bullion.
Dave, great interview and discussion! I do have a question about his last inquiry on ETFs. Some of us in the USA whose only investment is through 401K are tied to SLV or PSLV. I understand the political implications of the PSLV silver held by the Canadian Mint, but I still assume it is safer than SLV?
Any idea what might happen to all the shares outstanding of SLV? Do they become worthless if the Blackrock emperor is found to have no clothes having re-hypothecated the shares several times over, even if the price of real silver goes up? I confess I did not read the prospectus before buying.
This was a great interview and I am very concerned that what happens when investors call for the physical delivery of Silver and it is not there? The price does not magically go up like a Hunt Brothers cornering of the market.
The data I am focusing on is when I go to my local coin shop; they are not looking for the price of the ETF's or Industrial demand or jewelry (they do not accept silver jewelry.) They are looking at other coin shops and dealers and mints and the premiums and basing their price upon that.
Demand for Silver is quite low in my own home state. I can get Silver at near spot prices. I could get that even a year ago because of the premiums. Because of inflation; a lot of people are just not buying Silver. They are selling it and the local coin shops are pricing the sells at 70-80% of the spot price.
People selling their gold and silver on a retail basis means either they're taking profits, which seems implausible because silver has not had much of a run up but more of a drift up.
The other reason is recessionary pressures are putting financial stress on people and they need the ultimate liquidity, cash.
Great interview.
I think this interview makes clear what the primary motivation of Rachel Reeves being sent to China while facing intense criticism for being out of the country during the mounting financial crisis brewing in the UK. She was sent there IMO to plead for China to part with some of its “hoard” of silver to avoid an LBMA default on silver delivery. I would bet dollars (while they are still more valuable than donuts) that she came away with nothing. Rumor has it that China is buying silver dory bars and even concentrate direct from Latin American miners at refined prices for shipment to China for refining there. This avoids the issue of the purchases being reported by the IMF as it only reports transactions in bullion.
And to think people believed the lie China "paused" buying gold for several months. LOL
Even better than your last chat on Maneco64... Spot on, David!!!
Many thanks CW!
Great interview David .. very enlightening.
Dave, great interview and discussion! I do have a question about his last inquiry on ETFs. Some of us in the USA whose only investment is through 401K are tied to SLV or PSLV. I understand the political implications of the PSLV silver held by the Canadian Mint, but I still assume it is safer than SLV?
Great discussion, thanks for sharing your thoughts.
My pleasure Chris - cheers.
Any idea what might happen to all the shares outstanding of SLV? Do they become worthless if the Blackrock emperor is found to have no clothes having re-hypothecated the shares several times over, even if the price of real silver goes up? I confess I did not read the prospectus before buying.
I don't know. I think we will soon find out.
Gulp. Says the owner of many of said SLV shares. 😊. Thanks.
Super interview,good 1 that Mario asked you about black rock meeting with Brits PM
Mario puts on shows of substance frequently. Many thanks, David.
Is it possible that Blackrock went to talk to Starmer about UK Bonds, rather than silver?
We are about to find out.
This was a great interview and I am very concerned that what happens when investors call for the physical delivery of Silver and it is not there? The price does not magically go up like a Hunt Brothers cornering of the market.
The price resets globally to reflects supply and demand.
Then the price of the physical Silver, currently reflects a low global demand for it.
Give some data on that i3. The price now is not on supply-demand basis but is a paper price setting mechanism.
The data I am focusing on is when I go to my local coin shop; they are not looking for the price of the ETF's or Industrial demand or jewelry (they do not accept silver jewelry.) They are looking at other coin shops and dealers and mints and the premiums and basing their price upon that.
Demand for Silver is quite low in my own home state. I can get Silver at near spot prices. I could get that even a year ago because of the premiums. Because of inflation; a lot of people are just not buying Silver. They are selling it and the local coin shops are pricing the sells at 70-80% of the spot price.
As stated in my posts, retail demand is very low in N. Amer. but not the driver causing current global physical silver shortage.
What state are you referring to?
People selling their gold and silver on a retail basis means either they're taking profits, which seems implausible because silver has not had much of a run up but more of a drift up.
The other reason is recessionary pressures are putting financial stress on people and they need the ultimate liquidity, cash.
Hunt Brothers ran into problems when they started diluting their fiat power into futures rather than just continuing to stack physical.