The current state of the COMEX silver market reflects a tightening structure. Registered inventories have declined to just under 80 million ounces, while open interest has fallen to levels not seen in over 15 years.

That combination is significant. It indicates that market participants are stepping back from paper exposure at the same time the pool of deliverable metal is shrinking.

This retreat from paper is occurring against a backdrop of persistent physical demand. China’s import appetite remains elevated, continuing to draw silver out of the global system and away from Western exchanges. At the same time, one-month lease rates have turned positive.

In practical terms, this means the cost to borrow physical silver has risen, reflecting tighter availability and a growing premium on immediate access to metal. This is a key confirmation signal. Inventory data shows the drawdown, while lease rates show the stress in sourcing.

https://www.zerohedge.com/news/2026-05-01/comex-silver-crisis-real