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 Replies: 27 / Views: 3,196 |
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Pillar of the Community
United States
1590 Posts |
My Local Bullion Dealer, who is pretty reputable, was telling me today that a large trader has called for delivery on 1 Billion dollars worth of silver. Yet I see NOTHING in any news outlet.
Anyone else heard of this?
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Pillar of the Community
Canada
3733 Posts |
have not heard a peep, we will see in the next couple of days, if silver soars..
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Valued Member
United States
137 Posts |
The article that I just read stated that it is actually 1.5 Billion!!
It stated that it is Eric Sprott doing the buying.
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Bedrock of the Community
13014 Posts |
My feeling would be that this is just some rumor that got started floating around. I've never read all the fine print but I would guess something is in there limiting order call in size to prevent another Hunt brothers scheme
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Valued Member
United States
117 Posts |
I've always wished to have a 1mil in spending money for coins, let alone a billion. A billion would make a very impressive MS70 collection, that's for sure.
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Pillar of the Community
Canada
3167 Posts |
@ oldno7 do have a link to that article?
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Pillar of the Community
United States
5837 Posts |
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Pillar of the Community
 United States
1590 Posts |
The way I heard it, the thought is that the ETF does not have that much silver. And if that is true then it could make the whole Silver ETF market crumble. Because it would literally mean that the ETF is actually trading nothing but air. A quite literal monopoly game where the property you own does not exist.
I'm not sure how they could limit a call for delivery. That would just be admitting that they are commiting fraud.
If they are trying right now to buy enough physical silver to cover the call then that could be why we are seeing rising prices right now. On the other hand when this is over and the ETF is revealed to have NO physical silver to back the paper....then the whole fiat issue comes to play. Should be interesting.
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Pillar of the Community
United States
3789 Posts |
Rumor, rumor and more rumor. No such action has happened in the markets and it would NOT be broadcast if it did occur.
IF such a thing was happening we would be seeing silver surging with large volume. Guess what- that has not happened. Therefore thats nothing but a classic rumor.
That is, on the technical side, sliver looks to be trying to perk up however it has a LOT of work to keep this move up, so keep an eye on it.
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Bedrock of the Community
13014 Posts |
Quote:
I'm not sure how they could limit a call for delivery. That would just be admitting that they are commiting fraud. They could limit it by just including that in the fine print you agree too when you buy the stock. A limit doesn't mean theyre commiting fraud, it can just be a practical mater, a delivery cost issue, or to prevent 1 person from cornering the market and single handedly driving the price |
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Pillar of the Community
United States
3789 Posts |
Yea its a just a rumor thats been going on for a while now actually. even the SLV has been the focus of rumors.
no doubt a ploy to perk up sales of silver.
no such transaction of that sort has even been remotely done, I would have known about that days ago.
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Bedrock of the Community
13014 Posts |
Id actually be surprised if anyone had a billion worth of shares. I have no doubt that some people/companies probably have a couple million worth but a billion seems pretty far fetched considering they could get much better returns and a controlling share of most companies for that kind of money
If they put a billion dollar into Wynn casinos for example they would have pocketed somewhere around 67 million from their year end dividend this past year and that isn't even counting the other lower dividends they pay throughout the year.
Edited by basebal21
01/22/2013 12:24 am
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Pillar of the Community
United States
1590 Posts |
I would not be surprised if this was just another rumor. My understanding is that Comex does not have a 30th of that much silver in inventory.
As for fraud? Well, I'm sure that big biz can do anything they want. But when I was a detective; if someone had come into my office and told me that they had given money for a piece of paper that gave them ownership of silver/gold/hamburgers/ect; and then told me that when they wanted their hamburger they were told that by buying the paper you could never actually receive a hamburger......well; that would be a pretty clear cut case of fraud.
Again, I have no doubt that big biz can do anything they want. I mean we have seen Madoff, Goldman Sachs, the Libor Scandal, ect. It seems like about once a month we see a large corporation getting into trouble for defrauding it's customers.
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Bedrock of the Community
13014 Posts |
Quote:
As for fraud? Well, I'm sure that big biz can do anything they want. But when I was a detective; if someone had come into my office and told me that they had given money for a piece of paper that gave them ownership of silver/gold/hamburgers/ect; and then told me that when they wanted their hamburger they were told that by buying the paper you could never actually receive a hamburger......well; that would be a pretty clear cut case of fraud. I get what youre saying, but if when you bought that piece of paper for the hamburger if it said you were never entitled to the hamburger just to the price swings of the hamburger thats nothing more than two entities entered into a contract. Its quite possible they say you can get physical silver in certain amounts, but its also very possible they have limits on it. People dont buy paper PMS to get PMS, or they shouldnt at least, they buy them to try and make money with the price swings and thats all they were ever designed for. To get back to the hamburger analogy its more like buying a share into the place that makes the hamburger than buying the hamburger itself. If hamburgers do well you make money, if not you lose money. But if all you wanted was lunch you should have went and actually bought that instead of a voucher |
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Valued Member
United States
137 Posts |
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Valued Member
United States
456 Posts |
oldno7, I'm not sure if you noticed, but this article was written 14 months ago.
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Replies: 27 / Views: 3,196 |
Posted 01/21/2013 6:21 pm
