Ted Butler om hur tajt silvermarknaden är:
It seems highly plausible that of the many thousands of individual and corporate entities capable of investing less than $2 billion in physical silver, that one or two might emerge in time. Even more amazing is that there really isn’t room for more than one or two big buyers. It would seem impossible for, say, ten such buyers to purchase, for a combined $20 billion, one billion ounces of silver bullion because that’s all that exists in the world and little of that is available for sale at current prices.
This is what makes silver so special – the dollar to physical ounce conversion. Please consider what the $20 billion that would buy up the entire one billion ounces of silver bullion (1,000 oz bars) in the world would buy in gold. At current prices, $20 billion would buy less than 17 million ounces of gold, an amount that would no doubt influence the price of gold immensely, but at the same time only represents less than 1% of all the gold bullion in the world (3 billion oz of gold bullion, not the 5.5 billion oz of all forms of gold). Again, this is a simple financial equation – what would have more price impact, the purchase of 100% of what exists in the world or the purchase of less than 1% of what exists in the world?
For those potential big buyers which decided to look more closely as a result of answering the question as to why so much physical silver could be bought with so little money, the answer is also simple and easily documented. The answer is because 8 or less crooked traders on the COMEX are short the equivalent of 325 million oz, or more than 40% of annual world production and a third of all the silver bullion that exists. No other commodity has such an extremely concentrated short position and if this short position didn’t exist, the price of silver would be much higher. And at current depressed silver prices, who in their right mind could legitimately hold such a large short position? If any number of potential big buyers make it to this point with an open mind, it would be easy to verify what I claim, since the data are published weekly by the CFTC. — Silver analyst Ted Butler: 25 February 2015