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Dutchsilverstacker

Amount of silver bought

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There are large corporations like Apple, Facebook or even individuals like Warren Buffet who can corner the silver market by purchasing a year's production of all mines worldwide. That would be around 800 million ounces. I suspect that some day some anonymous hedge fund will do exactly that and sit on the silver until there is a real shortage in the industry and prices skyrocket. Or is that JP Morgan :)

I wonder why no one has done it yet. Maybe these big corporations/ wealthy individuals have been warned by the central banks, FED, BIS or IMF not to do so? (remember the Hunt brothers!)

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43 minutes ago, StackerCollector said:

There are large corporations like Apple, Facebook or even individuals like Warren Buffet who can corner the silver market by purchasing a year's production of all mines worldwide. That would be around 800 million ounces. I suspect that some day some anonymous hedge fund will do exactly that and sit on the silver until there is a real shortage in the industry and prices skyrocket. Or is that JP Morgan :)

I wonder why no one has done it yet. Maybe these big corporations/ wealthy individuals have been warned by the central banks, FED, BIS or IMF not to do so? (remember the Hunt brothers!)

I think that they are not allowed to do that. Also JP Morgan was fined because of this kind of stuff already ;) even a few people were arrested ;) 

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2 hours ago, StackerCollector said:

There are large corporations like Apple, Facebook or even individuals like Warren Buffet who can corner the silver market by purchasing a year's production of all mines worldwide. That would be around 800 million ounces. I suspect that some day some anonymous hedge fund will do exactly that and sit on the silver until there is a real shortage in the industry and prices skyrocket. Or is that JP Morgan :)

I wonder why no one has done it yet. Maybe these big corporations/ wealthy individuals have been warned by the central banks, FED, BIS or IMF not to do so? (remember the Hunt brothers!)

Eric Sprott said it best. "I have enough money to easily corner the silver market and squash supply but I dont want to have to look under my car everytime I go to start it"

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I honestly can't see silver ever returning to it's hey day when it was going for almost US$50.00 per ounce - thanks to the Hunt brothers, in my lifetime nor any other forum members lifetime, I have strong doubts that it will go above  or even reach US$35.00 - US$40.00  - as in this will be the average spot price per ounce for the year, in my lifetime or any other forum members lifetime.

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48 minutes ago, Seth said:

I honestly can't see silver ever returning to it's hey day when it was going for almost US$50.00 per ounce - thanks to the Hunt brothers, in my lifetime nor any other forum members lifetime, I have strong doubts that it will go above  or even reach US$35.00 - US$40.00  - as in this will be the average spot price per ounce for the year, in my lifetime or any other forum members lifetime.

:lol:  Seth you've just dashed the hopes and dreams of pretty much everyone on this website!  But you're right https://www.macrotrends.net/1470/historical-silver-prices-100-year-chart  It was $18 103 years ago and, oh look, it's still $18 today.  But they keep loading up the truck because "this time it's different" :rolleyes: .

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On 12/02/2020 at 12:36, StackerCollector said:

I wonder why no one has done it yet. Maybe these big corporations/ wealthy individuals have been warned by the central banks, FED, BIS or IMF not to do so? (remember the Hunt brothers!)

 

didn't the hunt brothers go bust buying silver?

why would anyone want to corner the silver

market?(where is the 'corner the silver market'

made fortune on the rich list)

 

HH

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22 hours ago, STONE said:

Eric Sprott said it best. "I have enough money to easily corner the silver market and squash supply but I dont want to have to look under my car everytime I go to start it"

 

eric sprott doesn't want to buy up the silver as

the money is made by selling to others the silver.

 

HH

Edited by HawkHybrid

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18 minutes ago, Roy said:

With all respect to Dominis Frisby - I'm a huge fan of his music and music videos, but there are a few old sayings that I think are quite pertinent when it comes to silver, ''tomorrow never comes'', and the one that is hung in not just my local pub, but probably thousands of pubs around the country, ''Free beer tomorrow'.

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9 hours ago, goldking said:

:lol:  Seth you've just dashed the hopes and dreams of pretty much everyone on this website!  But you're right https://www.macrotrends.net/1470/historical-silver-prices-100-year-chart  It was $18 103 years ago and, oh look, it's still $18 today.  But they keep loading up the truck because "this time it's different" :rolleyes: .

Depends how one adjusts for fiat debasement. Macrotrends use CPI inflation to adjust price. If instead Fed M2 supply is used for adjustment, then silver value is up just 50% from 2002 low, not 200%, and similar value as during 1990s. To me, indicates limited downside risk.

Edited by swanky

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19 hours ago, HawkHybrid said:

 

didn't the hunt brothers go bust buying silver?

why would anyone want to corner the silver

market?(where is the 'corner the silver market'

made fortune on the rich list)

 

HH

It wasn't silver itself that bankrupted the Hunt brothers - they where the sons of a Texas oil billionaire so they actually  could and did settle their losses with silver the family fortune even survived and profited off of it, what bankrupted them was that they where sued in a civil court almost a decade later by a Peruvian mining company for loss of income.  Rather it was a change in the rules that cost the Hunt brothers a fortune, or moving of the goal posts, with regards to silver and all commodities future contracts, and exchange rules to do with leverage brought in on January 7 1980 in response to the Hunt brothers cornering of the silver markek, Tiffany - the jewellers, even took out a full page advert in he New York Times denouncing the Hunts brothers cornering of the silver market in March of 1980 stating ''We think it is unconscionable for anyone to hoard several billion, yes billion, dollars' worth of silver and thus drive the price up so high that others must pay artificially high prices for articles made of silver''.  The so called ''Silver Rule Number 7'', something that is still in place today is for the exact purpose of preventing a single person or entity from cornering the market in any commodity especially silver.

Edited by Seth

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I believe silver has great potential as an investment for both uncertain economic periods and future industry needed metal.

In investment terms because the silver price is very low compared to other hard assets and during economic downturns the price will likely go up as it will be the next best thing after gold. And it may also rise as we use more and more technology that requires the metal at the same time the miners who produce it can barely make a profit with these prices.

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20 hours ago, HawkHybrid said:

 

didn't the hunt brothers go bust buying silver?

why would anyone want to corner the silver

market?(where is the 'corner the silver market'

made fortune on the rich list)

 

HH

They went bust because the US government changed the rules of the game. They got proper f###ed. 

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2 minutes ago, StackerCollector said:

They went bust because the US government changed the rules of the game. They got proper f###ed. 

I wouldn't exactly say that, they owned something like 6.5% of the brokerage firm that they used the most to aquire their silver future contracts - something that they did not declare to the Securitties Exchange Commission, it was getting sued by the Peruvian mining company that sued them almost a decade later that screwed them.  They acually profited off the US$1.1 billion line of credit that they where given because of their stake in Bache Halsey Stuart Shields.

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14 hours ago, swanky said:

Depends how one adjusts for fiat debasement. Macrotrends use CPI inflation to adjust price. If instead Fed M2 supply is used for adjustment, then silver value is up just 50% from 2002 low, not 200%, and similar value as during 1990s. To me, indicates limited downside risk.

Why would you use Fed M2 supply as a metric?  That makes no sense whatsoever.  You can try to fudge the figures however you want, the fact remains that the average price over 100+ years has barely changed.  In real terms the fiat price of silver has actually gone down because the CPI adjustment doesn't take into account food or energy costs.  Who here is paying the same price for food and utilities today as you were 10, 20, 30+ years ago?  No?  Me neither.  Factor those into the equation and you've actually lost money.  Unless you are able to buy AND sell it for spot it doesn't even qualify as wealth preservation as you'd stand at a loss from the premiums on both ends of the transactions.  As for it being an "investment" - :lol: - spend your time researching factual charts rather than watching youtube channels by silver pundits to confirm your bias.

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2 hours ago, goldking said:

Why would you use Fed M2 supply as a metric?  That makes no sense whatsoever.

 

that was my first thought.

 

instead of using a number designed to try and track

inflation people choose to use an arbitrary number?

it's like saying there should be more surface land than

water because more of the earth is made up of land

type materials.

 

silver stackers talk of inflation taking away the

purchasing power of currency yet they are happily

holding hoards of dead money losing out on many

opportunities.

 

HH

Edited by HawkHybrid

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1 hour ago, HawkHybrid said:

silver stackers talk of inflation taking away the

purchasing power of currency yet they are happily

holding hoards of dead money losing out on many

opportunities.

 

HH

When you consider that the price hasn't changed even after being adjusted for inflation, you could achieve the same result by simply leaving your money in your bank account :lol:.  The monetary figure would be the same at the start and the end, and you might even earn 0.5% interest on it.  Another plus is that you wouldn't have the hassle of buying, storing and selling a load of silver metal.

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20 hours ago, goldking said:

Why would you use Fed M2 supply as a metric?  That makes no sense whatsoever.  You can try to fudge the figures however you want, the fact remains that the average price over 100+ years has barely changed.  In real terms the fiat price of silver has actually gone down because the CPI adjustment doesn't take into account food or energy costs.  Who here is paying the same price for food and utilities today as you were 10, 20, 30+ years ago?  No?  Me neither.  Factor those into the equation and you've actually lost money.  Unless you are able to buy AND sell it for spot it doesn't even qualify as wealth preservation as you'd stand at a loss from the premiums on both ends of the transactions.  As for it being an "investment" - :lol: - spend your time researching factual charts rather than watching youtube channels by silver pundits to confirm your bias.

I agree. Statistics do not lie. I enjoy Mike Maloney's videos, charts and facts as well as the price of silver on the us debt clock :) and the fact that one was able to buy a medium-priced house in the States for 500 ounces at one point - but if the "elite/ fiat conspiracy" or let us call them short sellers decide to keep the price of silver at the current level for the next 20 years, then we will see silver trading at $18 in 2040. No matter what supply and demand will be. 

I'll be freaking happy for silver to go to $300 an ounce and sell it all and trade it in for a real estate. If that does not happen, then my stack will serve as a retirement bonus. It is a mix of bullion and gold/ silver collectable coins - so the value does go up steadily.

The major bonus is that my stack can't be confiscated (yet). See what happened in Cyprus in 2008 - account holders with a balance of more than 100.000 Euros lost around 40% in order for the banks to survive. Simply confiscated - no way to get their money back. So for me it is must to keep some wealth outside of the banking system. Let's me sleep well at night. 

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My only problem with silver is the more is better mentality vs. better is better. 
100 ounces of silver has mass and weight. You can see 100 ounces and it gives the mind a false sense of having a lot of stuff. 
One ounce of gold is so tiny yet almost has the same value. 
I admit that sometimes I have dreams of my small couple hundred ounce silver stack will reach $1,700 an ounce and I’m rich - etc. 😢 But History and reality have shown that will never be the case. 😂😂 

Silver is definitely not Rhodium - which one ounce of right now can easily buy 500 ounces of silver!

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On 10/02/2020 at 16:04, Dutchsilverstacker said:

I have the idea that there's not enough silver bought in the world. what do you guys think? :)

 

I have a theory that too much silver is being bought

for the wrong reasons. all the people who believe

the silver pumpers story of impending doom should

be holding gold instead.

silver is great if you have a crystal ball and know for

sure that silver will outperform in the short time

frame, otherwise choose gold.

 

HH

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Not sure which was one of my worst "longer term" hopeful investments - buying silver at close to £30 per ounce on it's way "to the moon" according to all the "experts" or the 5 star ( no -brainer ! ) Neil Woodford's Income Fund.
Both seem to have lost me the same percentage of fiat invested but I am still sitting on silver but had no choice with the Woodford fund.

 

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