The silver situation is getting more interesting by the day. The price of physical silver is breaking off from the contract price. Someone told me a major US bank nearly went under because of its silver derivatives positions and had to be bailed out by the Federal Reserve Bank.
Isn't silver pushed down by all the paper (fake) silver?
Yes, the price is heavily weighed down by all the contracts the big players issue, but that only works until there is a massive demand for delivery of physical silver; like now. Then people discover how much more you have to pay to be first in line to get actual physical silver and you start to see prices shoot up; like now.
It's really disappointing that even physical metal value has been brought down by something basically equivalent to fiat currency that has no backing. JP Morgan is the one that comes to mind with their big paper silver scheme. I wonder if they're the one who nearly went under recently.
I've heard the same, although at this point it's merely an "unnamed bank."