In my last blog I asked why silver prices remain so low amidst increasing silver market demand. I have done further 'silver research' and found more pertinent information.
The following is from Jason Hommel's Sivler Stock report. You can read his full report at silverstockreport.com
Each silver contract at the NYMEX is a promise. There are too many contracts, too many promises to deliver silver that may not exist. Each contract is for 5000 ounces. There are often over 200,000 contracts for 5000 ounces, that's a total of 1000 million ounces of silver promised to be delivered. With recent market trends of defaults and bankruptcies, these contracts are at risk of default. Yet the exchange has only about a third of that in real silver. How can they promise to deliver more silver than exists? If they fail to deliver silver, then confidence in the world's entire financial system may collapse. Industrial users of silver may have to shut down their factories. To prevent this, users will bid silver prices much higher.
Due to the risk of default in silver futures contracts, I suggest that you avoid buying futures contracts, avoid options, and avoid storing your silver with anyone else! Take delivery of your silver, and put your silver in your own safe!
If you don't own silver bullion coins please click on the following link.
http://www.silversnowball.com/266
The potential for survival WHEN the economy collapses is greatly increased as you possess silver or gold.
More on this later.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment