Why is this Bank Stockpiling Silver Like There’s No Tomorrow?
Snatching Those Bars Up
Another day, another completely expected gold and silver Comex smackdown!
While we stacking warriors have done some of our best fighting during these past few months/years, some of our critics have only grown louder on days like today. That’s ok. Let them preen and squawk all they want to. It makes no difference to me. After all, there is so much going on behind the scenes, which continues to point to silver being the place to be, that the evidence is overwhelming at this stage..
Case in point, last week, you’ll remember that I mentioned over 11 million ounces of silver moved either in or out of the Comex system, within just 5 business days. A record, to be sure, but there’s more to the story than just the mere tonnage of silver that was transferred.
What I didn’t make mention of at that time, was that a certain party was “forcing the issue”, by raking in most of that 11 million ounce total.
You see, a very prominent bank certainly agrees with stackers that silver is more important than ever.
They’re baaaaack. Yes, “old faithful” is back at it again!
Of course, they never really left silver, and have been rigging it non-stop in the futures market, but for awhile there, there were at least no admissions of newly-stacked silver being made in their Comex warehousing facilities.
Yet, after a 16 month period of “dormancy” within their Comex warehouse vaults, these guys have returned with a vengeance.
In fact, our old buddies at JP Morgan Chase, not only see value in silver here, but they’re currently standing for delivery in their own house account in such strong numbers, that it commands our attention. Let me show you what I mean.
Here’s a breakdown of the Comex’s most recent silver deliveries to JP Morgan:
April 7th: 1,110,000 ounces
April 8th: 1,280,000 ounces
April 9th: 893,037 ounces
April 10th: 1,200,224 ounces
April 14th: 1,073,000 ounces
April 15th: 1,191,275 ounces
April 16th: 1,183,777.295 ounces
This is a huge bout of deliveries in such a short space of time. In fact, within the realm of Comex world, it’s such an exceptionally large amount, that it even creates quite a spike on the long-term chart of JP Morgan’s vault stockpile:
All in all, JP Morgan has added over 8.3 million ounces of additional silver in just the past 2 weeks alone. Ted Butler has said that he believes most of it is silver owed to JP Morgan, after they stood for delivery last month. This is no isolated incident, either, but part of an ongoing trend by this bank to acquire the single, largest silver stockpile within the banking world.
In fact, Mr. Butler also believes that JP Morgan has spent the last 4 years acquiring one of the largest hordes of silver in modern times. He believes this so strongly, that he has put the possible, current number of ounces in JPM’s coffers at several hundred million.
Now, we can’t know for sure if JP Morgan is the largest silver short in the SLV, or whether or not they’re the “Mr. Big”(as he calls them) buying up many government silver coins, but if they are indeed active within the SLV shenanigans, and if their accumulation there matches the same trendline in their Comex vaults…
Then he could well be right that they currently have the largest commercial stockpile of silver on earth.
Why, after extricating itself from much of its silver shorts, is JP Morgan Chase still bothering with buying tens(or hundreds) of millions of ounces of silver?
Why after nearly 18 months of calm, would JP Morgan suddenly rush to take delivery of the maximum, allowable silver ounces in a delivery month?
Think about it: if silver is so “plentiful”, and available in quantities that would allow the Comex to give every investor a good delivery bar for a personal doorstop, with silver to spare…then why would JP Morgan bother with such accumulation in the first place?
Why bother creating such a vast stockpile, if silver is so oversupplied?
This is the question that no critic can answer.
If silver was destined to go back to years of further losses, then why would the world’s biggest “insider” continue to acquire a sure loser at such “high prices”?
Ted Butler, a man whom I greatly respect, has said that he believes JP Morgan has acquired silver all this time for the “motherload”, the ultimate payout…as he believes they know that silver’s price explosion is an eventual inevitability.
That part I agree with him on. However, I disagree that JPM’s end game(as well as the Fed’s and US Treasury’s) all along was to simply score big on a silver explosion.
I mean, these guys in DC issue trillions of dollars of bonds per year!
JP Morgan, in their secret money room, moves around trillions of dollars…per day! Per day!
Do you really think that they care whether or not they make 10 billion, 20 billion, or 50 billion dollars on a silver trade? Is that really why JP Morgan had to take on Bear Sterns’ short position, in a shotgun wedding arranged by Fed and the Treasury?
Not hardly, brothers!
Remember, silver is the banking dragon’s vulnerable spot, it is the ‘pressure point knockout’, and thusly, it has always been my belief that JP Morgan and the banking cartel doesn’t rig silver and gold to “make dollars”. Rather, they rig silver and gold “to make dollars possible”. Without the rigging of silver and gold’s price, the price rocket that would take place would torpedo world confidence in debt instruments, in inflation figures, and in the state of the global market’s health.
Mr. Butler has wondered for several years now, why JPM hasn’t just “let silver rip” once they had their short position as low as 8,000 to 10,000 contracts?
The answer to that is the same reason why JP Morgan didn’t run up gold’s price after they’d acquired a Comex long contract corner. Some folks thought that when JP Morgan had acquired a long-market corner in gold of roughly 8 million paper ounces….that surely, they’d simply let gold skyrocket, and pocket billions of dollars. Those same folks were perplexed when JP Morgan not only did not let gold skyrocket, but also continued to exit that long contract position, with almost no profits to speak of. The real money to be made was never in the rigging of the price itself, but in the global monetary system that these banks own, lock, stock, and barrel.
The reason why I think Mr. Butler misses this point, is because he doesn’t understand silver’s true importance as a monetary asset. Ted is, by his own admission, not a hard money advocate. He doesn’t believe in necessarily having gold and silver as money. To him, silver is just another commodity, just a crime in progress that he discovered and wants to bring to light. Nothing more.
What Dimon Said
Why though has JP Morgan’s pace of silver stacking quickened as of late?
Perhaps it’s because they know that the system(the real source of profit) is not long for this world. Recently, in a communication to JP Morgan’s shareholders, Jamie Dimon personally expressed that he felt it likely that there will be a future crash “in the world’s most liquid instruments”:
“The items mentioned above (low inventory, reluctance to extend credit, etc.) make it more likely that a crisis will cause more volatile market movements with a rapid decline in valuations even in what are very liquid markets. It will be harder for banks either as lenders or market-makers to “stand against the tide.”
JP Morgan was tapped by the government to criminally rig the silver and gold prices, but not to simply “make some profits”, but rather to literally sustain the system itself.
Since April 2011, JP Morgan has been one of physical silver’s “biggest fan”…as it has been probably the world’s largest stacker, behind only the nation of India.
This bank, having established its own Comex system vaults, has now built the single, largest stockpile of silver on the Comex warehouse system’s books. The dormancy period, of roughly 16 months, where the bank took in almost no new silver, is now over.
Remember, that a profit on a silver spike would be a short-sighted, one-time thing, as the ensuing spike will literally kill their global, debt ponzi system. It would “kill the goose that lays the golden eggs”.
So, it stands to reason…
That IF JP Morgan has reached the point where it’s looking to “score big” on a silver run-up, then it’s only because the system itself has run its course, and there is nothing left to steal. As I have long stated, I expect the big “escape” of silver’s price to only occur once their system is done.
From their renewed, substantial silver stacking, and from Jamie Dimon’s own admissions that he expects some market turbulence in “the world’s most liquid markets”, I think it’s possible that the global economy’s situation has reached the critically-terminal phase.
The Banking Dragon always goes for the most crucial “choke-points” on the field of battle. They “occupy” silver, gold, bitcoin etc…..because these choke-points are simply too important for them not to control.
Butler has said that JP Morgan is the ultimate insider, and that silver is as close as anything to following an “insider trade”, as you’ll ever have. I completely agree.
I also believe that JP Morgan understands that the next time silver’s short supply reaches critical levels, it will be in the midst of the greatest financial crisis that any living person will have witnessed.
This renewed stacking in silver by this financial behemoth is a reminder that silver is of the utmost importance to the powers that be, and if JP Morgan Chase:
The most well-connected, financial crooks on planet earth…
The “insider of insiders”…
The very market execution arm of the Federal Reserve itself…
Finds it utterly necessary to take delivery of every last ounce of silver that it can get its hands on…
Then so do I.
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