KeithGram: The “Crash JP Morgan” Campaign

It is now the second anniversary of a campaign to “crash” JP Morgan by encouraging people to buy silver (see Max Keiser).  The idea is that JP Morgan has a large naked short position in silver.  If people buy physical silver it will drive the price up and deprive JP Morgan of the metal it [...]

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Open Letter To Ted Butler Of Butler Research

Keith WeinerPresident, Gold Standard Institute USA Oct 2, 2012

 Dear Mr. Butler:

 I read your article about silver manipulation at 24hgold.com.

 I am responding as someone who wants free markets.  I want to make one thing clear before I proceed.  We have no free markets anywhere today.  Without constant government intrusions into the markets, the paper [...]

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KeithGram: Euroland, Silver, and Gold

Last Thursday, in my subscribers’ newsletter I touched on a theme of the silver-euro correlation.  Clearly, the euro is heading to zero (not necessarily immediately and not necessarily all at once) and clearly silver is not.  This means that the correlation will end, and silver will decouple from the euro to the upside, perhaps violently.

[...]

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KeithGram: Losses At JPM

JP Morgan’s CEO Jamie Dimon announced a few weeks ago that the bank may take a loss as high as $2B on a trading position established by a London traded dubbed “the whale”.  Now, some estimates are as high as $6B and some people are saying that Dimon will have to step down.  If this [...]

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Backwardation In Gold And Silver

On Monday, May 14, something happened that hasn’t happened since Dec of 2008. Two successive near-month precious metals futures contracts were in backwardation at the same time. To oversimplify, backwardation is when the price of a futures contract is lower than the price in the spot market. It should not be possible for it to [...]

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DocComment: Re Yesterday’s Price Move In the Precious Metals

Here is a chart of the main silver ETF from yesterday:

 

Not shown on the chart is today’s volume, nearly 100 million.  This makes today’s volume in SLV close to a record save for the frenzied trading last spring.  Not shown, but similarly, GLD had much higher than average volume yesterday. [...]

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The Arbitrageur: The Decline and Fall of Silver Backwardation

On Friday, I published an article “The Arbitrageur: Silver Backwardation“. I was the only one to cover the news of the end of silver backwardation.  And I gave my prediction that the price of silver could correct sharply.

This piece presents my analysis and theory of what happened.  This will necessarily include some educated guesses, as [...]

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The Arbitrageur: Silver Backwardation

Ever since early fall 2010, long-dated silver futures have been in backwardation. This means the price of a silver future for, say, Dec. 2015, was lower than the price of silver in the spot market. One could have earned a “risk free” profit by simultaneously selling physical silver and buying a future. When the future [...]

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PSLV Bulls In Deep Space 9-9-9

What is going on in the hard money blogosphere?  How on earth is paper getting confused with bullion?

Recently, not one but two prominent hard money-oriented blogs intimated that the stock known as Sprott Physical Silver Trust (PSLV) is more like the real thing than what it really is – a non-dividend-paying stock, aka a [...]

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The Arbitrageur: Silver In Backwardation

March silver has been flirting with backwardation since the end of 2011, and today it has moved more firmly into backwardated territory.  This is extremely bullish for silver, and let me explain why.

 Backwardation means (and I am oversimplifying a bit here) that a futures contract is cheaper than buying the physical good in the [...]

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Overpriced PSLV Is a Negative Portent for Silver’s Price

Where are the Sprott Physical Silver Trust’s customers yachts?

This investment vehicle, U.S. stock symbol PSLV, is basically a closed-end fund. Its current asset value is $650 million.  PSLV owns physical silver and earns a large guaranteed income for Sprott vehicles that charge somewhere near 1% yearly simply to hold the silver.  Anybody who thinks [...]

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