tag:blogger.com,1999:blog-7982981413278241287.post7313045433587578289..comments2023-10-28T17:54:39.467-06:00Comments on The Golden Truth: Very Unusual Activity In SilverDave in Denverhttp://www.blogger.com/profile/03016238915167131989noreply@blogger.comBlogger7125tag:blogger.com,1999:blog-7982981413278241287.post-47064226962541799582012-06-28T10:51:35.333-06:002012-06-28T10:51:35.333-06:00That fact the rumors are out there probably mean t...That fact the rumors are out there probably mean they are true. It is likely that hedge funds are taking cash in lieu of metals and I dono't personally know anyone at the big hedge funds who trade this stuff and neither does Harvey. You have to personally know someone who does that deal in order to get 1st hand confirmation. We take delivery of physical only when we buy silver on the Comex. It has taken HSBC several weeks beyond the stated contract period twice to get us our silver and we are small. I can easily see HSBC or JPM offering cash at a premium to the contract price when very large size is involved.Dave in Denverhttps://www.blogger.com/profile/03016238915167131989noreply@blogger.comtag:blogger.com,1999:blog-7982981413278241287.post-84646773768554862952012-06-28T10:26:08.921-06:002012-06-28T10:26:08.921-06:00I'm curious about something regarding this sta...I'm curious about something regarding this statement: "There have been reports over the past few years that banks have been aggressively settling contracts for cash at high premiums. I have no way of proving or disproving this."<br /><br />I know that Harvey Organ states this as well and my question is with as many close contacts that I am certain you two have that are in silver investing it is hard to believe that neither of you know anyone that has first hand knowledge of this or at least could find out for certain. Of course I do not know how all this works but it would seem if anyone would know someone that trades silver on the Comex you two would. Am I missing something?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-7982981413278241287.post-35502211706927347562012-06-26T11:39:32.775-06:002012-06-26T11:39:32.775-06:00Contracts have to be funded by the day before 1st ...Contracts have to be funded by the day before 1st notice. Once the dust has settled, the open contracts during the delivery period can be settled in one of several ways: 1) if you haven't been "noticed" yet, you can just sell it. 2) if you have been noticed but decide you don't want delivery, you sell it with the warehouse receipt and the contract either gets delivered to the next buyer or, more likely, the bank that originally sold the contract and bought it back probably tears up the contract and the receipt. 3) the contract gets settled with either actual physical, SLV or GLD, or cash. There's nothing wrong if the deliveror offers to settle a contract for cash at some premium above the contract price if the deliveree is willing to accept cash in lieu of physical.<br /><br />There have been reports over the past few years that banks have been aggressively settling contracts for cash at high premiums. I have no way of proving or disproving this. <br /><br />Ultimately, it is likely that eventually the Comex will default by forcing cash settlement. But I think that won't happen for quite some time.Dave in Denverhttps://www.blogger.com/profile/03016238915167131989noreply@blogger.comtag:blogger.com,1999:blog-7982981413278241287.post-54771294358181619912012-06-26T10:29:52.784-06:002012-06-26T10:29:52.784-06:00Dave, I follow Harvey Organ, and I was wondering i...Dave, I follow Harvey Organ, and I was wondering if you could verify something he says. Lets say we enter July and we have 5000 silver contract standing. It is my understanding that means, people who hold these contracts now have to come up with the full $ amount of the contract. So then lets say 15 days go by and we start losing standing contracts, Harvey suggests they have agreed to a nice incentivised cash settlement. Isn't that supposed to be illegal? But, what other reason would they then settle to get their money back? <br /><br />Can you really take any of these "transactions" and conclude anything?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-7982981413278241287.post-36710066324377165422012-06-26T02:08:41.074-06:002012-06-26T02:08:41.074-06:00nice writtennice writtenlive sportshttp://sportsfunia.comnoreply@blogger.comtag:blogger.com,1999:blog-7982981413278241287.post-12259388028834306672012-06-25T16:48:48.193-06:002012-06-25T16:48:48.193-06:00I wouldn't read too much into the July open in...I wouldn't read too much into the July open interest until we see how many contracts are left standing after Thursday, on Friday. Friday is 1st notice for July so we could see quite a bit of "roll" or liquidation this week. Probably we'll see a lot of roll, which is what happened Friday as 3300 dropped from July and 3400 rolled into Sept.Dave in Denverhttps://www.blogger.com/profile/03016238915167131989noreply@blogger.comtag:blogger.com,1999:blog-7982981413278241287.post-63678099102918488192012-06-25T15:15:06.658-06:002012-06-25T15:15:06.658-06:00Hey Dave, Hadn't seen that late add on the Jun...Hey Dave, Hadn't seen that late add on the June AG, another 800K in silver is more than was open all month.<br />Would appreciate any of your perspective on the 170,000,000 oz of AG that were hanging tight as of last Friday for the July. Wouldn't that rock the silver world. If even 50,000,000 of that stands for the month that would clean out all the registered silver by 20,000,000 oz. I never underestimate the power of the Crooksters to engineer a pillage but this looks like it could be our kind of fun! Best KCAnonymousnoreply@blogger.com