Monday, April 4, 2011

How JP plays with your emotions...silver is still in backwardation

Apparently Silver is in contango now, and not in backwardation. This is complete shit, and should be trusted with the same degree as if you were dropping your kids off at Blythe's house for the day.

Backwardation, is essentially the investment rate - the lease rate. But lets look at things closer shall we?

If I were JP, and caught in the worlds largest short conundrum know to man, I would have to manipulate ALL data to make the sheep sell back their metal for paper. How would I do this?

Simple, I would do two things: First, I would bid up the amount of COST in the lease rate. Secondly, by painting the tape, I would just go out and buy the longer months, and bid them up temporarily knowing full well it means shit to begin with.

In conclusion, these rates are what the Banks want them to be.

Do what you want with your silver, I will be buying more, and I still understand silver is still in 'real' backwardation. If this is too much conspiracy for you, move along...this board is not for you.


  1. Yeah, well said, smell their BS here over the Pacific.

  2. What kind of miningshares:physical are you guys going with? Im mostly miners and miner derivatives, having traded most of our physical for leverage.
    Betting on systemic collapse from within that system is getting me a little antsy. However, seeing that Owebama is already starting his campaign bolsters my confidence that the show must go on.

  3. Too much conspiracy? I'm used to it. :-)

    Hi Ho Silver

    For those who continually ask the same questions here over and over about where to buy silver and all that. It's time for you to wake up:

    You have had plenty of information handed to you right here and other's have done their part.

  4. J P Morgue = bankster = paper games that screw the sheeple. Same as it ever was.

    Keep it coming, SGS!

  5. This comment has been removed by a blog administrator.


    Apr 2011 38.485 +0.748
    May 2011 38.475 +0.743
    Jun 2011 38.445 +0.700
    Mar 2012 38.425 +0.658
    Dec 2012 38.510 +0.775
    Dec 2013 38.280 +0.700

    According to my figures, there is still $.17 in backwardation.

  7. James Turk discusses this here...

  8. Keep an eye on backwardation/contango. Looks like the Morgue will let the price rise to shake out more metal. We'll know if in a couple days if their plan is successful. In the mean time we still win!

    Short/med/long term physical is tight and getting tighter. All this news adds visibility that is needed to attract more interest. I have no problem see higher future prices especially knowing the Comex is an unauditable paper scam.

  9. Speaking of which... My Blyght needs some extra cash so she can buy her sacraficial therobread for April. She told me to find her some babysitting gigs. She was especially interested in babysitting for you SGS. She said she was going to take your tike Deep Sea Fishing. I pretended like I asked you already and told her that you were not interested. If anyone else would like to have My Little Sitter watch their kids, let me know :)

  10. Contango and its evil twin backwardation do not refer to the nominal "lease rate," but rather the "forward offered rate." The lease rate is defined as the forward offered rate plus the LIBOR, or London Inter-Bank Offered Rate (the forward offered rate for dollars).

    Contrary to what you have heard, silver has not been in backwardation for a couple of weeks. The silver forward offered rate (SIFO) does still have an "inverted yield curve," however.

    The data are here:

  11. Blyghts are fucking annoying to read i wish i could make it so i didnt see your stupid ass meaningless comments every god damn day

  12. I will have My Little Lobbyist talk to Satan to see if he will grant your wish. Just so I got it straight you don't want to be able to see my posts anymore right. That shouldn't be too hard for old hoofy foot. I'm sure it shouldn't cost you much either; just your soul. Or try this more economical alternative. When you see a post labeled Blyght's Mom... Don't read it... Can you fathom that??? Your going to have to pick one of those options because I'm not going anywhere. I love you nig4life.

  13. Oh yeah nig4life, everyday, I see you just signed up in April of 2011. You've been around for so long. Wait don't tell... You've been around reading SGS for a while not but never posted anything until you wanted to compliment me... Well I'm flattered... Welcome aboard; we look forward to more of positive energy that is permeating from your post.

  14. So when's the curve is full backwardated, it's bullish and when it's not it's more bullish? Why wouldn't they have moved the curve from day 1 of backwardation? The problem with conspiracy theories is you always have to more the goal post to make them work. I'm long silver, just don't need rationalize every tick and move in the market.

  15. "you always have to more the goal post to make them work"

    Please restructure this sentence please so that we can actually address your concerns, b/c as it stands I have no fucking clue what this means and feel dumber reading something as horrific as that. thank you.

  16. Sierra: I now will be deleting your posts until you give me and we here the explanation as to what the North Com thingy you wrote about a couple of days ago was all about.