Silver Reported to be SOLD OUT!

From Casey's Daily Resource Plus:

"Analyst Peter Schiff agrees, entitling yesterday’s column Alice in Wonderland. Part of what he had to say: “How do you know when you’re through the looking glass? A fairly good indication is when the price of gold, which normally moves up in response to monetary easing, instead plummets in reaction to one of the largest rate cuts in Fed history. Apparently, [this] resulted from the 'hawkishness' shown by the Fed in only cutting rates by 75 basis points, rather than the 100 points that many had expected. It is a testament to how low the bar has been set that the Fed can slash rates in the face of a collapsing dollar and soaring commodity prices and still be viewed as hawkish on inflation. Is it just me, or is Ben Bernanke morphing into the Mad Hatter?” . . . . . .

Now, let’s talk about what you really want to hear...like what happened yesterday. Well, it was the continuation of what happened on Wednesday. Once the boys gave the overbought positions a big enough shove on Tuesday, the Cartel pulled their bids on gold and silver (plus all the other commodities they've got their fingers in) and down went the prices. As I said, the 50-day moving averages for both metals were ripe for the picking...and they did exactly that...and in spades! This was way more than I (or Ted Butler) thought they would do. I had a chat with Ted yesterday in the early afternoon, and he feels that this take-down way past the 50-day moving averages probably got between 90 and 95% of all the spec longs out there...with a few more to follow early next week. We both feel that the 200-day m.a. is too much of a stretch for the Cartel right now."

The following article is from http://news.silverseek.com/GoldIsMoney/1205995646.php

"Silver Shortage: 19 dealers reported "Sold Out"
By: Jason Hommel, Silver Stock Report-- Posted 20 March, 2008 | Digg This Article | Discuss This Article - Comments: 3

(SOLD OUT!!)

Silver Stock Report

You know me, I don't send out two emails in one day, so this must be important. Since my email earlier tonight, where I reported that 5-6 major silver dealers (Amark, Tulving, 2 in Vancouver, my local dealer, NWT Mint) are "out of inventory", 13 more reports came in, saying that the dealers were out of silver inventory. Some of these names are big names in the business, Scotia bank, the Perth Mint in Australia, CNI Numismatics in LA, APMEX says they have some items, but are looking to buy.

If there are any coin dealers or bullion shops that have an inventory, in stock, of more than 100, 100 oz. bars, let me know, and I'll give you FREE Advertising within 24 hours in my next newsletter.

Robert Mish reports that he has 100 x 100 oz. bars still, but he had 250 bars last week.
Mish International
Menlo Park
650-324-9110

Now think: How can the silver price drop by nearly $2/oz., when all these reports come in saying that the dealers are sold out, or nearly out, of physical silver? This is the clearest evidence of paper short selling manipulation that I've ever seen since I started watching the silver market back in 1999, and I've seen a lot of evidence!

Unfortunately, the COT reports only report through Tuesday. This Wednesday's action will not be revealed in the COT's until next Friday.

The public switched and turned buyers after gold hit $1000/oz. The coin shops normally sell to the refineries, and this creates a large part of the ~250 million oz. of silver recycling each year that meets the deficit between ~650 million oz. mine supply, and ~1000 million oz. demanded by inventory.

But now, this flow of silver just reversed. And if the refineries are not getting silver from the coin shops, industry will get squeezed, hard, and so will the major short sellers on the COMEX.

This is crunch time. Panic time."

Back to Doug -- Given that the previous article is true and I have no reason to believe it is not. It was reported by Casey's publication and is wide spread over the internet. It is amazing how the cartel manipulates the markets to their advantage. We must learn to live in this environment until they lose control. This means that we are well positioned in silver given we have not sold our silver interests. Our silver stocks - SLW, PAAS, SSRI, CDE, and SLV (Silver ETF), as well as options on the stocks should skyrocket next week. I will be watching the Asian and Australian Sunday night trading prices for silver and gold. Next week should be an exciting week and, hopefully, not like the one just completed.

Each Lord's Day, we celebrate the resurrection of our Lord and Savior Jesus Christ. As Reformed Believers, we do this in memory of His sacrifice in our place and in honor of His resurrection on the first day of the week. However, it is not unreasonable to give special emphasis one time a year. I pray that each of you will celebrate with Christians of all time, on the first day of next week. All honor and glory belongs to Him. We show the world this as we meet together in corporate worship as He requires.

Best to each, Doug Best to each,