China Pulls the Silver Plug
Posted: Tue Feb 15, 2011 8:43 pmAsian markets, specifically China has decided to purchase large amounts of the ETF SLV with the expectation of taking delivery.
Why Not!
Sounds like a great way to accomplish multiple goals. Acquiring silver and laughing all the way to the proverbial bank. The market in no way is prepared for such a massive delivery. China knows this and will force the hand while they (Comex) do everything in their power to complete the delivery. If the delivery is unsuccessful there is a cash settlement available at a 25% premium. Either way the revealed diminished capacity of actual Silver bullion within the so called vaults will cause the price to rise as well as a poor financial outlook to the public. Undermining any attempt to falsify the recovery we are so enthralled in.
This is “ART of WAR” at its best, utilizing your opponent’s weakness only to turn itself inside out passing blame from one dysfunctional organization to another. Remember China is done with the US Reserve currency. Any activity that undermines the value of the dollar or at the least shines a light on the coming crash will be useful in the coming change.
This is all planned!
China will take over as a majority backer in a world currency, utilizing its massive gold and silver positions.
“It is vital that a tangible commodity is included into a global currency to get all players on board”
The US Dollar as it still has legs to stand on looks something like Andre the Giant in his last Wrestle Mania, a silly looking prop that should have stayed home telling stories of his heyday to the grand children before he passed on.
While this is good for silver it will increase the prices of other commodities as emotional behavior primarily runs the market. We knew massive money printing was going to have consequences; this is the beginning in my opinion of record inflation. Even the Media will be reporting this one.
China is just helping by pulling the plug!
Why Not!
Sounds like a great way to accomplish multiple goals. Acquiring silver and laughing all the way to the proverbial bank. The market in no way is prepared for such a massive delivery. China knows this and will force the hand while they (Comex) do everything in their power to complete the delivery. If the delivery is unsuccessful there is a cash settlement available at a 25% premium. Either way the revealed diminished capacity of actual Silver bullion within the so called vaults will cause the price to rise as well as a poor financial outlook to the public. Undermining any attempt to falsify the recovery we are so enthralled in.
This is “ART of WAR” at its best, utilizing your opponent’s weakness only to turn itself inside out passing blame from one dysfunctional organization to another. Remember China is done with the US Reserve currency. Any activity that undermines the value of the dollar or at the least shines a light on the coming crash will be useful in the coming change.
This is all planned!
China will take over as a majority backer in a world currency, utilizing its massive gold and silver positions.
“It is vital that a tangible commodity is included into a global currency to get all players on board”
The US Dollar as it still has legs to stand on looks something like Andre the Giant in his last Wrestle Mania, a silly looking prop that should have stayed home telling stories of his heyday to the grand children before he passed on.
While this is good for silver it will increase the prices of other commodities as emotional behavior primarily runs the market. We knew massive money printing was going to have consequences; this is the beginning in my opinion of record inflation. Even the Media will be reporting this one.
China is just helping by pulling the plug!
