Realcent.org

"On a related note, The TF Metals Report indicates that JP Morgan is taking physical delivery of silver bullion in upwards of 90% of the contracts that are being settled. This is in stark contrast to typical futures contracts, in which only 3% of contracts settle with the delivery of physical bullion."

Could JP Morgan be up to something? They have greatly reversed their short position in silver to a long position and are taking physical delivery. I read where paper silver is leveraged like 90% so if Morgan took 'all the physical from the fund' couldn't that wipe the funds out when holders of paper realize there really is no silver in their fund? Could this be the end of the physical/paper relationship and leave JP Morgan holding the physical silver from the funds?

Link: http://www.coinweek.com/bullion-report/ ... -likely-in

Thoughts?

Can you say insider trading? By an entity immune from prosecution? I read that also, and if true, has to be bullish I would think.

I've given up on trying to figure out the fundamentals behind why entities large and small do what they do in the PM market. The only question that makes sense to me is: Was there ever a time when JPM or some other large company did the same thing and, if so, what were the results then?

There is rarely a moment in history or the present since JPM's inception where they were not up to something. Oh Tesla, what could have been. So I would answer the question of this thread with an emphatic yes.

They are going long on SLV. They have dispersed most of their short position into muddy waters in the other big banks. Who knows where it is, but the total net short position has been dropping like a rock as well. Meanwhile the COMEX is hemmoraging physical gold at a fever pitch never before seen.

It seems to me they are preparing to profit from higher silver prices having now been able to get out of their short position without a loss thanks to the recent coordinated smackdown. I say it was a coordinated smackdown because the CEOs of BoA, JPM, and Goldman Sachs all met with the Pres on the Friday before BoAML sold 5 million ounces of paper gold to initiate the recent drop in metals. That same Friday was the day after Congress proposed repealing the STOCK (Stop Trading on Congressional Knowledge) Act. On Monday morning as the takedown was occurring, BHO signed the repealing of that act so that Congress no longer had to diclose insider trades just in time to take advantage of the waterfall. I simply bring this up to quantfy my statement and highlight that there is a purpose behind these moves. Now that the short position is mostly gone they are not on the chopping block if metal prices go higher. I don't expect that to happen until the exchanges have been sufficiently drained of physical since I am not confident paper will be along for the entire ride, and we may be nearing the last opportunity to buy metal for the paper price.

Catfish4u wrote:Could JP Morgan be up to something?

Thoughts?

Most emphatically YES!

Read some of Ted Butler's recent writings to get an idea or two to think about.

Basically insider trading and illegal price manipulation to provide "The Pentaveret" an illusion of control.
(My apologizes to Mike Myers for mentioning "The Pentaveret", I should just use TPTB.)