Just wondering if JPM runs into trouble with its silver shorts - what effect does that have on SLV given that they are the custodian - any ideas ?
COMMENT: If suspicions are correct 1. that JPM's SLV is just receipted silver that is non existent and the synthetic storage is nothing but mirage metal... and 2. that every new SLV share that is created gives JPM the opportunity to short that share then it gives JPM the ability to control the price of silver - a classic case of the tail wagging the dog with proxy paper silver.
3. if one were to check the SEC's REG SHO they will see that there is now a huge NAKED SHORT position on SLV shares. (its the counterfeiting of SLV shares and is actually free money because said shares aren't available for delivery) The recent ruling against position limits enables a cartel or group of cartels to control the price of silver... numb nuts JON will challenge this because to him the word conspiracy shouldn't even be in the dictionary.
It is my belief that there is enough sideline money and not everyone is stupid and that silver will rise even though the FED has a new and powerful tool to game silver via proxy paper in conjunction with JPM that silver proponents will still win because its a grass roots movement by the people - once physical silver disappears and/or the derivatives market collapses those holding in their hands silver will be the winners. Stored silver is an illusion for most retail investors, witness MFGlobal, Just what in the world do you think the term "SYNTHETIC STORAGE" means? Whats funny here is the warehouse charges the owners fees for storage and even if the silver is real its leased out by the warehouse owner so there may be as many as 4 or 5 claims on the one piece of silver. Remember that old by true Adage... "Possession is nine tenths of the Law".
Yes, saw that the position limit proposal by the FTC was thrown out by a Federal Judge but JPM was exempt from limit orders anyway... why JPM is shown such favoritism is beyond the minds of those who hint at conspiracy... too funny
Would't doubt that the only reason there was a sponsorship for Dodd-Frank is that rules were needed for the investment bank community that exempted JPM so it could kill/limit JPMs competition... another too funny.
Long exposure it what, what are they hedging. If it were for a client it would be a one time transaction. Not a weekly event increasing or decreasing its position. Also if they had the physical metal to back the short position. They would drive silver to $500 a oz if they owned the 150 million ozs of silver. Not drive it to $25.