Loading ...Tomorrow – Could Be Historic
The financial system is at risk, because J P Morgan is likely the big silver short. They probably can’t survive without a FED orchestrated bailout. Powell can’t acknowledge that, so he has to couch a huge injection of funds into the repo market, as unclogging a blocked plumbing problem(will probably suggest the unwinding Yen carry trade, is the main contributor), but J P Morgan and any other banks that are short silver, are most likely the reason all those hundreds of billions will be needed. Probably why silver took off today and if some type of QE, repo injection or new bank program, gets announced tomorrow, both Gold & Silver should explode higher. Stocks and Bitcoin might spike initially, but will probably end up selling off by the close.
A couple of years ago Ted Butler wrote a lot of ink on JP Morgan’s silver position. Anyone who is familiar with Ted’s analysis would understand that JP Morgan is in no way at risk of any short squeeze. Ted explained how they are the most savvy of all traders. They were able to convert their 1B Oz silver short into an actual 1B Oz ownership of silver plus they are the agents of SLV itself. JP Morgan may at any time be short silver, but it is collateralized by silver itself.
If there is anyone at risk it would be Bank of America. They have a massive silver short position foisted on it by non other than JP Morgan.
I recall this distinctly – JPM had accumulated 1 Billion ounces of physical — Chartmaster posted the info at the tent – 01/31/2021
https://goldtadise.com/?p=487795
Yes I have been aware of Ted Butler’s work for years(Thank you K2) The fact that JP Morgan HAD accumulated that position in the past doesn’t guarantee that they still have ALL of it, NOR that as custodian of the SLV’s silver inventory, they have not rehypothecated some or all of it. They could still be on the hook for more silver than the physical position they MAY still have. The point, as I wrote above, is that the few banks that are the big shorts are on the hook and J P Morgan is likely one of them, even if they aren’t the single largest short.
Or gold and silver could get bombed tomorrow, making up for a Toasty Tuesday. It’s been done before…
As a humble observer of Silver for decades, I believe there is a huge battle for control of the Silver mkt.
These bastards will throw everything at it to suppress the price as they can not afford to see Silver get away from them to the upside.
I welcome a higher price.
J P Morgans current stash of silver is supposed to be about 770 million ounces which is about 46 billion dollars.