Paging Blythe - "Please explain exit strategy as Silver Lease rates BLOW through 1.2%, Paging Blythe"
This is what I get excited about, metals data. Love it. She can do what ever the fuck she wants with spot, but she cant fuck with the supply! Eat it Biaaaootch!
Even Stewart Thomson of Graceland Updates says last nights 5% takedown in silver was a GREAT BUYING opportunity. I disagree with his overall philosophy, but and large dips are a great buying opportunity.
Silver Lease rates are no where near historic highs (when Buffet was buying silver), but it is going parabolic. Yesterday, all silver lease rates went higher except the 1 year. Today that changed and the 1 year did an about face and shot up with the rest.
Rob Kirby did another interesting article on how the BIS- Banks of International Settlements is covering up precious metals leasing and transactions. Zero Hedge posted it below:
Guest Post: Fecks, Lies and Video Tape [or the Cabal Channel] http://www.zerohedge.com/article/guest-post-fecks-lies-and-video-tape-or-cabal-channel
COMEX is a warehouse which holds dealer inventory and customer inventory. When a dealer borrows from the customer, this is a lease. But the dealer must have permission and agree to pay a certain rate for "leasing".
X Axis is the date Y Axis is the % back when you lease your silver.
Rates are moving up...my guess would be dealers want to use customer silver and not their own supply (my real guess is they have none and need the customers)...anyhow...if customers don't want to lease the dealers raise the lease rate up to entice people.
If it says 1% per month, then they earn 1% cash for each month it's leased. Lease is a borrow. At the end of the month, customer should get the silver back, plus the 1%. etc, for longer lease terms.
Silver is very scarce so leasing rates should rise a lot more if it's really scarce.
Makes much more sense now. In short (pun intended), the uptrend is showing that the dealers are offering a premium to lease as they dont have any of their own.
Silver has taken a sweet fuckin' uptick and backed down to where SGS predicted @ 32.50 where it's been short-term range-bound. I've also sussed out what SGS senses with a silver bear raid to try and shake loose a few longs. I see the forest for the trees in all this and will simply ignore it. Blythe, give it up babe. I'll lift my leg and rip a massive fart in your general direction as this episode will be so short in duration, better than being short the metal!
I don't usually cuss but I have to get it out of my system:
ReplyDeleteI hope this motherfukker burns down today!!! (the stock market and banks)
Sorry SGS. It won't happen again.
Notice palladium just took a massive 7% drop-off. Gold and silver are holding on at the moment here. Hopefully the END GAME has arrived.
ReplyDeleteBetter is the end of a thing than the beginning thereof.
SILVER HEADING MUCH HIGHER
ReplyDeleteEven Stewart Thomson of Graceland Updates says last nights 5% takedown in silver was a GREAT BUYING opportunity. I disagree with his overall philosophy, but and large dips are a great buying opportunity.
Silver Lease rates are no where near historic highs (when Buffet was buying silver), but it is going parabolic. Yesterday, all silver lease rates went higher except the 1 year. Today that changed and the 1 year did an about face and shot up with the rest.
Rob Kirby did another interesting article on how the BIS- Banks of International Settlements is covering up precious metals leasing and transactions. Zero Hedge posted it below:
Guest Post: Fecks, Lies and Video Tape [or the Cabal Channel]
http://www.zerohedge.com/article/guest-post-fecks-lies-and-video-tape-or-cabal-channel
Immediate ramp up in silver price past 1:30 when the shorts go off.
ReplyDeleteSo obvious...
Watchman, that's ok, I rather enjoy reading swearing at Blythe, the CFTC, banks, government, and the "oligarchy establishment" as a whole.
ReplyDeleteJack,
Ain't that true?! Every day between 1:00 - 1:25 it does down, then after 1:30 it creeps up again.
But it couldn't possibly be manipulation - after all it's a "free" market. /sarcasm
Sweet this mini drop has given me a chance to get more $35 March contracts.
ReplyDeleteCan someone please help me understand how to read the lease rates graph?
ReplyDeleteI cant work out the supply portion?
COMEX is a warehouse which holds dealer inventory and customer inventory. When a dealer borrows from the customer, this is a lease. But the dealer must have permission and agree to pay a certain rate for "leasing".
ReplyDeleteX Axis is the date
Y Axis is the % back when you lease your silver.
Rates are moving up...my guess would be dealers want to use customer silver and not their own supply (my real guess is they have none and need the customers)...anyhow...if customers don't want to lease the dealers raise the lease rate up to entice people.
If it says 1% per month, then they earn 1% cash for each month it's leased. Lease is a borrow. At the end of the month, customer should get the silver back, plus the 1%. etc, for longer lease terms.
Silver is very scarce so leasing rates should rise a lot more if it's really scarce.
Supply - click the Silver Stocks Link. You may need Excel to open it.
ReplyDeletehttp://www.cmegroup.com/trading/energy/nymex-daily-reports.html#warehouse
Registered is Dealer supply
Of course, it makes no sense to lease at all if the dealer really the 40 million ounces listed why lease at all?
Aaaaaaaah- Thanks Jack,
ReplyDeleteMakes much more sense now.
In short (pun intended), the uptrend is showing that the dealers are offering a premium to lease as they dont have any of their own.
Cheers again
Silver has taken a sweet fuckin' uptick and backed down to where SGS predicted @ 32.50 where it's been short-term range-bound. I've also sussed out what SGS senses with a silver bear raid to try and shake loose a few longs. I see the forest for the trees in all this and will simply ignore it. Blythe, give it up babe. I'll lift my leg and rip a massive fart in your general direction as this episode will be so short in duration, better than being short the metal!
ReplyDeletePfffft..