Letter to COMEX Oct 8th 2001

October 8, 2001

Vincent Viola
Chairman
J. Robert Collins, Jr.
President
New York Mercantile Exchange, Inc.
One North End Avenue
World Financial Center
New York, NY 10282

Dear Mr. Viola and Mr. Collins:

This is to inform you that there is a serious and dangerous problem
in the silver futures market on the Commodity Exchange, Inc.
(COMEX), according to the just-released Commitment of Traders
Report (COT). The COT of Oct. 5, 2001, for positions as of Oct. 2,
clearly indicates a manipulation in progress. The amount of net short
contracts held by the large commercial category (normally considered
COMEX insiders), is obscene and preposterous in regards to market
concentration and compared to silver in the real world. There is no
way, that a reasonable person would not conclude that the
commercials' silver short position is both manipulative to the silver
price, and an extreme danger to the very existence of your
exchange.

In the past three weeks, the large commercials have increased their
net short position by 175 million ounces, or 350%, to 225 million
ounces net short. Last week alone, the large commercials sold net
short over 90 million ounces of paper silver futures contracts. Large
commercials now make up 80% of the entire futures short position.
The price of silver would be materially higher, were it not for this
manipulative and uneconomic naked short selling. The additional
175 million ounces sold short, in just three weeks, is more than any
country can produce in two years or much longer. It is more than all
known silver stockpiles in the entire world. It is not possible for the
short selling of 175 million ounces of silver, in a three week period,
not to manipulate the price.

Worse, the concentration of silver short positions among the large
commercials is troubling. Four or less traders hold 130 million ounces
net short. That's also greater than all known silver bullion in the
world, and more than any country produces annually. Unless these 4
or less traders own all the silver in the world, and then some, then
this is a starkly naked short position. To claim it might be a mining
hedge, considering the trading history of the large commercials,
would defy logic. To claim that it might be a hedge of metal
inventories would be silly. Did someone just come into 175 million
ounces of real silver in the past three weeks? It is obvious that the
large commercials are masquerading as hedgers - they are
speculators, pure and simple. By pretending to be hedgers, these
large commercials seek protection from basic commodity law which
proscribes that speculators not influence prices unduly. To be clear,
the four or less traders in the commercial category are manipulators,
or represent manipulators. There is absolutely no economic purpose
to their naked short position, save to depress the price of silver. You
must put an end to this manipulation.

On top of all the above, the Sep. 11 horror buried the 30 million
ounces of silver in the Scotia Mocatta warehouse, rendering it
unavailable for a long time. This 30 million ounces makes up 30% of
the entire COMEX silver inventory, the largest in the world. In fact,
the buried and unavailable silver comprises 25% of total known world
silver bullion inventory. One quarter of all known silver bullion in the

world is made unavailable overnight, and COMEX insider commercials
rush to sell short obscene amounts, on a 50 cent rally? Who do these
insiders think they are?

I am a silver analyst who has consistently recommended COMEX
silver warehouse receipts as the best method for holding physical
silver in size. Many people have taken my advice, and have
purchased these receipts. But, I must tell you, I am troubled by what
I see. First off, I am troubled that the COMEX has not been
forthcoming with public assurances that all the silver involved in the
WTC 4 warehouse is fully insured and that the owners will be
protected. All the insurance companies came forth, with great fanfare,
to proclaim there would be no attempt to invoke war or terrorist
exclusions in any WTC-insured losses. The COMEX's silence, on this
matter, is conspicuous and disturbing. Second, the sheer mismatch
between the extreme and concentrated commercial naked short
position, jumping 350% in three weeks, and the suddenly-reduced
available physical silver inventory, is most alarming. Inventory is
effectively sharply reduced, and the insiders short position explodes
350%. A reasonable person would contemplate default. This is your
notice, that if we do have a default in COMEX silver, or any market
emergencies related to restricting the rights of bona fide long
contract holders, it will be because of the concentrated commercial
COMEX- insider shorts.

No other market in the world, just COMEX silver, has such a large,
concentrated short position, where a few traders are allowed to be
short more than, literally, all the known material in the world. Given
the magnitude of the concentrated naked short position and the
condition of the Scotia Mocatta facility, I call on you to rectify this
outrageous situation immediately. It is your responsibility to end the
clear short side manipulation in silver by these insider crooks. I
understand that you are new to COMEX leadership, and your
backgrounds don't indicate a close association with the commercial
insider manipulators. If you don't end their crooked activities, you
will
be sanctioning those activities.

I have no other way of ending the silver manipulation, aside from
notifying you or writing about it in the public domain. It is not my
intent to inflame the situation. I would prefer you reigned in the
out-of-control insider manipulators - that's what self-regulation is
supposed to be about. However, if you choose not to address this
issue, or tell me why I'm off-base, I will have no other choice but to
publicly present the facts as I see them, and let people make up
their own minds. If I don't hear from you by my next publishing
deadline, close of business Wednesday, Oct. 10, 2001, I'll assume
you have aligned yourself with the insider crooks.

Ted Butler


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theoretisch doch moeglich, oder? Auch wenn ich das nicht glaube.
Aber mal ne andere Frage: Wenn sich die Silber-Bullen ihrer sache so sicher sind, warum kaufen sie nicht einfach staendig zu und warten auf das, was unweigerlich kommen MUSS?
WARUM DIESE UNGEDULD?

Liebe gruesse
pecunia

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>theoretisch doch moeglich, oder? Auch wenn ich das nicht glaube.
>Aber mal ne andere Frage: Wenn sich die Silber-Bullen ihrer sache so sicher sind, warum kaufen sie nicht einfach staendig zu und warten auf das, was unweigerlich kommen MUSS?
>WARUM DIESE UNGEDULD?
>Liebe gruesse
>pecunia

Hallo Pecunia,

daß keiner, der noch bei Verstand ist, zu diesen Preisen Silber verkauft, ist einleuchtend. Als Kuppelprodukt wird es nicht gehedgt und die primären Silberminen sind am Rande des Bankrotts. Wer als Bullion-Banken sollte sonst shorten? Buffet ist es sicher nicht, so daß es wirklich ungedeckte Kontrakte sind. Der Umfang ist wirklich befremdlich, besonders, da Silber gerade lächerliche 50 Cents gestiegen ist. Ich würde mutmaßen, daß DIE von Grünspan & Co. einen Wink bekommen haben. Also Leerverkaufen auf Teufel komm raus, Preis drücken, damit den letzten Rest physischen Materials auf dem Markt werden, eindecken und ab in die Gegenrichtung. Kann mir sogar vorstellen, daß DIE eine Zusicherung erhalten haben, daß im Notfall nicht zu leisten ist bzw. daß die Regierung großzügig Hilfe leisten wird.
Johann hat ja mehrfach gesagt, daß die Manöver nur dazu dienen, den Leuten den letzten Rest physischen Materials abzuluchsen. Bedauerlich, daß viele drauf reinfallen. Für uns vielleicht die letzte Nachkaufgelegenheit.

Viele Grüße!

J.

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saiger geht ja davon aus, daß der verlauf dem von 1997/98 sehr ähnlich sieht.

dann müßte ja anfang nov. bzw. schon ende okt. die post abgehen?

servus

tölzer

>Letter to COMEX Oct 8th 2001
>October 8, 2001
>Vincent Viola
>Chairman
>J. Robert Collins, Jr.
>President
>New York Mercantile Exchange, Inc.
>One North End Avenue
>World Financial Center
>New York, NY 10282
>Dear Mr. Viola and Mr. Collins:
>This is to inform you that there is a serious and dangerous problem
>in the silver futures market on the Commodity Exchange, Inc.
>(COMEX), according to the just-released Commitment of Traders
>Report (COT). The COT of Oct. 5, 2001, for positions as of Oct. 2,
>clearly indicates a manipulation in progress. The amount of net short
>contracts held by the large commercial category (normally considered
>COMEX insiders), is obscene and preposterous in regards to market
>concentration and compared to silver in the real world. There is no
>way, that a reasonable person would not conclude that the
>commercials' silver short position is both manipulative to the silver
>price, and an extreme danger to the very existence of your
>exchange.
>In the past three weeks, the large commercials have increased their
>net short position by 175 million ounces, or 350%, to 225 million
>ounces net short. Last week alone, the large commercials sold net
>short over 90 million ounces of paper silver futures contracts. Large
>commercials now make up 80% of the entire futures short position.
>The price of silver would be materially higher, were it not for this
>manipulative and uneconomic naked short selling. The additional
>175 million ounces sold short, in just three weeks, is more than any
>country can produce in two years or much longer. It is more than all
>known silver stockpiles in the entire world. It is not possible for the
>short selling of 175 million ounces of silver, in a three week period,
>not to manipulate the price.
>Worse, the concentration of silver short positions among the large
>commercials is troubling. Four or less traders hold 130 million ounces
>net short. That's also greater than all known silver bullion in the
>world, and more than any country produces annually. Unless these 4
>or less traders own all the silver in the world, and then some, then
>this is a starkly naked short position. To claim it might be a mining
>hedge, considering the trading history of the large commercials,
>would defy logic. To claim that it might be a hedge of metal
>inventories would be silly. Did someone just come into 175 million
>ounces of real silver in the past three weeks? It is obvious that the
>large commercials are masquerading as hedgers - they are
>speculators, pure and simple. By pretending to be hedgers, these
>large commercials seek protection from basic commodity law which
>proscribes that speculators not influence prices unduly. To be clear,
>the four or less traders in the commercial category are manipulators,
>or represent manipulators. There is absolutely no economic purpose
>to their naked short position, save to depress the price of silver. You
>must put an end to this manipulation.
>On top of all the above, the Sep. 11 horror buried the 30 million
>ounces of silver in the Scotia Mocatta warehouse, rendering it
>unavailable for a long time. This 30 million ounces makes up 30% of
>the entire COMEX silver inventory, the largest in the world. In fact,
>the buried and unavailable silver comprises 25% of total known world
>silver bullion inventory. One quarter of all known silver bullion in the
>world is made unavailable overnight, and COMEX insider commercials
>rush to sell short obscene amounts, on a 50 cent rally? Who do these
>insiders think they are?
>I am a silver analyst who has consistently recommended COMEX
>silver warehouse receipts as the best method for holding physical
>silver in size. Many people have taken my advice, and have
>purchased these receipts. But, I must tell you, I am troubled by what
>I see. First off, I am troubled that the COMEX has not been
>forthcoming with public assurances that all the silver involved in the
>WTC 4 warehouse is fully insured and that the owners will be
>protected. All the insurance companies came forth, with great fanfare,
>to proclaim there would be no attempt to invoke war or terrorist
>exclusions in any WTC-insured losses. The COMEX's silence, on this
>matter, is conspicuous and disturbing. Second, the sheer mismatch
>between the extreme and concentrated commercial naked short
>position, jumping 350% in three weeks, and the suddenly-reduced
>available physical silver inventory, is most alarming. Inventory is
>effectively sharply reduced, and the insiders short position explodes
>350%. A reasonable person would contemplate default. This is your
>notice, that if we do have a default in COMEX silver, or any market
>emergencies related to restricting the rights of bona fide long
>contract holders, it will be because of the concentrated commercial
>COMEX- insider shorts.
>No other market in the world, just COMEX silver, has such a large,
>concentrated short position, where a few traders are allowed to be
>short more than, literally, all the known material in the world. Given
>the magnitude of the concentrated naked short position and the
>condition of the Scotia Mocatta facility, I call on you to rectify this
>outrageous situation immediately. It is your responsibility to end the
>clear short side manipulation in silver by these insider crooks. I
>understand that you are new to COMEX leadership, and your
>backgrounds don't indicate a close association with the commercial
>insider manipulators. If you don't end their crooked activities, you
>will
>be sanctioning those activities.
>I have no other way of ending the silver manipulation, aside from
>notifying you or writing about it in the public domain. It is not my
>intent to inflame the situation. I would prefer you reigned in the
>out-of-control insider manipulators - that's what self-regulation is
>supposed to be about. However, if you choose not to address this
>issue, or tell me why I'm off-base, I will have no other choice but to
>publicly present the facts as I see them, and let people make up
>their own minds. If I don't hear from you by my next publishing
>deadline, close of business Wednesday, Oct. 10, 2001, I'll assume
>you have aligned yourself with the insider crooks.
>Ted Butler


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Hi Jan,

hier sagst Du:
>daß keiner, der noch bei Verstand ist, zu diesen Preisen Silber verkauft, ist einleuchtend.

Also zu diesen Preisen wuerde ich den silbernen Kerzenstaender aus Omas Erbschaft auch nicht hergeben.

Dann sagst Du:
>Johann hat ja mehrfach gesagt, daß die Manöver nur dazu dienen, den Leuten den letzten Rest physischen Materials abzuluchsen.

Was denn nu? Wir ge- oder ver-kauft (vom kleinen Mann)?

Sicher ist fuer mich nur eins: Wegen des sehr tiefen Preises seit vielen, vielen Jahren haben die Lagerbestaende drastisch ABgenommen, nicht ZUgenommen. Jedes Druecken des Preises bewirkt MEHRverbrauch, nicht WENIGERverbrauch.

Damit bleibt fuer mich die vollkommen unverstaendliche frage: Warum wird auf Teufel komm heraus geshortet?


Viele gruesse
pecunia

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... auf jeden Fall ist etwas im Busch (Bush?). Egal was, wenn jemadn an Silber glaubt, kann ich nur dazu raten, physisches Silber zu bunkern. Bei Minenaktien non-US-amerikanische, auf keinen Fall irgendwelche Scheine auf irgendwelche Barren, die angeblich irgendwo lagern.
Im Ernstfall seid ihr schneller enteignet als die Romanovs anno dazumals. Es wird nur nicht"Enteignung" genannt werden - evtl"strategische Metallrepatriierung" oder so ähnlich....

Wer´s nicht glaubt: ruft doch die Hunt-Brüder an ;-))

Grüße,
Tom

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saiger geht ja davon aus, daß der verlauf dem von 1997/98 sehr ähnlich sieht.

dann müßte ja anfang nov. bzw. schon ende okt. die post abgehen?

servus

tölzer

>Letter to COMEX Oct 8th 2001
>October 8, 2001
>Vincent Viola
>Chairman
>J. Robert Collins, Jr.
>President
>New York Mercantile Exchange, Inc.
>One North End Avenue
>World Financial Center
>New York, NY 10282
>Dear Mr. Viola and Mr. Collins:
>This is to inform you that there is a serious and dangerous problem
>in the silver futures market on the Commodity Exchange, Inc.
>(COMEX), according to the just-released Commitment of Traders
>Report (COT). The COT of Oct. 5, 2001, for positions as of Oct. 2,
>clearly indicates a manipulation in progress. The amount of net short
>contracts held by the large commercial category (normally considered
>COMEX insiders), is obscene and preposterous in regards to market
>concentration and compared to silver in the real world. There is no
>way, that a reasonable person would not conclude that the
>commercials' silver short position is both manipulative to the silver
>price, and an extreme danger to the very existence of your
>exchange.
>In the past three weeks, the large commercials have increased their
>net short position by 175 million ounces, or 350%, to 225 million
>ounces net short. Last week alone, the large commercials sold net
>short over 90 million ounces of paper silver futures contracts. Large
>commercials now make up 80% of the entire futures short position.
>The price of silver would be materially higher, were it not for this
>manipulative and uneconomic naked short selling. The additional
>175 million ounces sold short, in just three weeks, is more than any
>country can produce in two years or much longer. It is more than all
>known silver stockpiles in the entire world. It is not possible for the
>short selling of 175 million ounces of silver, in a three week period,
>not to manipulate the price.
>Worse, the concentration of silver short positions among the large
>commercials is troubling. Four or less traders hold 130 million ounces
>net short. That's also greater than all known silver bullion in the
>world, and more than any country produces annually. Unless these 4
>or less traders own all the silver in the world, and then some, then
>this is a starkly naked short position. To claim it might be a mining
>hedge, considering the trading history of the large commercials,
>would defy logic. To claim that it might be a hedge of metal
>inventories would be silly. Did someone just come into 175 million
>ounces of real silver in the past three weeks? It is obvious that the
>large commercials are masquerading as hedgers - they are
>speculators, pure and simple. By pretending to be hedgers, these
>large commercials seek protection from basic commodity law which
>proscribes that speculators not influence prices unduly. To be clear,
>the four or less traders in the commercial category are manipulators,
>or represent manipulators. There is absolutely no economic purpose
>to their naked short position, save to depress the price of silver. You
>must put an end to this manipulation.
>On top of all the above, the Sep. 11 horror buried the 30 million
>ounces of silver in the Scotia Mocatta warehouse, rendering it
>unavailable for a long time. This 30 million ounces makes up 30% of
>the entire COMEX silver inventory, the largest in the world. In fact,
>the buried and unavailable silver comprises 25% of total known world
>silver bullion inventory. One quarter of all known silver bullion in the
>world is made unavailable overnight, and COMEX insider commercials
>rush to sell short obscene amounts, on a 50 cent rally? Who do these
>insiders think they are?
>I am a silver analyst who has consistently recommended COMEX
>silver warehouse receipts as the best method for holding physical
>silver in size. Many people have taken my advice, and have
>purchased these receipts. But, I must tell you, I am troubled by what
>I see. First off, I am troubled that the COMEX has not been
>forthcoming with public assurances that all the silver involved in the
>WTC 4 warehouse is fully insured and that the owners will be
>protected. All the insurance companies came forth, with great fanfare,
>to proclaim there would be no attempt to invoke war or terrorist
>exclusions in any WTC-insured losses. The COMEX's silence, on this
>matter, is conspicuous and disturbing. Second, the sheer mismatch
>between the extreme and concentrated commercial naked short
>position, jumping 350% in three weeks, and the suddenly-reduced
>available physical silver inventory, is most alarming. Inventory is
>effectively sharply reduced, and the insiders short position explodes
>350%. A reasonable person would contemplate default. This is your
>notice, that if we do have a default in COMEX silver, or any market
>emergencies related to restricting the rights of bona fide long
>contract holders, it will be because of the concentrated commercial
>COMEX- insider shorts.
>No other market in the world, just COMEX silver, has such a large,
>concentrated short position, where a few traders are allowed to be
>short more than, literally, all the known material in the world. Given
>the magnitude of the concentrated naked short position and the
>condition of the Scotia Mocatta facility, I call on you to rectify this
>outrageous situation immediately. It is your responsibility to end the
>clear short side manipulation in silver by these insider crooks. I
>understand that you are new to COMEX leadership, and your
>backgrounds don't indicate a close association with the commercial
>insider manipulators. If you don't end their crooked activities, you
>will
>be sanctioning those activities.
>I have no other way of ending the silver manipulation, aside from
>notifying you or writing about it in the public domain. It is not my
>intent to inflame the situation. I would prefer you reigned in the
>out-of-control insider manipulators - that's what self-regulation is
>supposed to be about. However, if you choose not to address this
>issue, or tell me why I'm off-base, I will have no other choice but to
>publicly present the facts as I see them, and let people make up
>their own minds. If I don't hear from you by my next publishing
>deadline, close of business Wednesday, Oct. 10, 2001, I'll assume
>you have aligned yourself with the insider crooks.
>Ted Butler


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<HR>

</center>

>Hi Jan,
>hier sagst Du:
>>daß keiner, der noch bei Verstand ist, zu diesen Preisen Silber verkauft, ist einleuchtend.
>Also zu diesen Preisen wuerde ich den silbernen Kerzenstaender aus Omas Erbschaft auch nicht hergeben.
>Dann sagst Du:
>>Johann hat ja mehrfach gesagt, daß die Manöver nur dazu dienen, den Leuten den letzten Rest physischen Materials abzuluchsen.
>Was denn nu? Wir ge- oder ver-kauft (vom kleinen Mann)?
>Sicher ist fuer mich nur eins: Wegen des sehr tiefen Preises seit vielen, vielen Jahren haben die Lagerbestaende drastisch ABgenommen, nicht ZUgenommen. Jedes Druecken des Preises bewirkt MEHRverbrauch, nicht WENIGERverbrauch.
>Damit bleibt fuer mich die vollkommen unverstaendliche frage: Warum wird auf Teufel komm heraus geshortet?
>
>Viele gruesse
>pecunia

Wahrscheinlich will man damit verhindern, dass die Edelmetalle insgesamt in den Fokus der Anleger geraten. Sollte Silber nach oben rennen, dann könnten das eventuell ein paar Leute als Frühindikator für Gold werten ;-).

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>... auf jeden Fall ist etwas im Busch (Bush?). Egal was, wenn jemadn an Silber glaubt, kann ich nur dazu raten, physisches Silber zu bunkern. Bei Minenaktien non-US-amerikanische, auf keinen Fall irgendwelche Scheine auf irgendwelche Barren, die angeblich irgendwo lagern.
>Im Ernstfall seid ihr schneller enteignet als die Romanovs anno dazumals. Es wird nur nicht"Enteignung" genannt werden - evtl"strategische Metallrepatriierung" oder so ähnlich....
>Wer´s nicht glaubt: ruft doch die Hunt-Brüder an ;-))
>Grüße,
>Tom

Jepp. Besonders wenn man bedenkt, daß
- Silber absolut Kriegsnotwendig ist,
- die US-Army kaum noch über Silberbestände verfügt (zur Preismanipulation gebraucht?)
- die Dividenden der Silberminen in Papier gezahlt werden. Wohin damit?

Gruß
Diogenes

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>Hi Jan,
>hier sagst Du:
>>daß keiner, der noch bei Verstand ist, zu diesen Preisen Silber verkauft, ist einleuchtend.
>Also zu diesen Preisen wuerde ich den silbernen Kerzenstaender aus Omas Erbschaft auch nicht hergeben.
>Dann sagst Du:
>>Johann hat ja mehrfach gesagt, daß die Manöver nur dazu dienen, den Leuten den letzten Rest physischen Materials abzuluchsen.
>Was denn nu? Wir ge- oder ver-kauft (vom kleinen Mann)?
>Sicher ist fuer mich nur eins: Wegen des sehr tiefen Preises seit vielen, vielen Jahren haben die Lagerbestaende drastisch ABgenommen, nicht ZUgenommen. Jedes Druecken des Preises bewirkt MEHRverbrauch, nicht WENIGERverbrauch.
>Damit bleibt fuer mich die vollkommen unverstaendliche frage: Warum wird auf Teufel komm heraus geshortet?
>
>Viele gruesse
>pecunia
Ja. Niemand mit Intelligenz und auch nur einer geringen Kenntnis der Marktlage würde jetzt noch verkaufen. DIE können also nur noch Erfolg bei Leuten haben, die sich von den Medien alles weißmachen lassen. Die Zeitungsberichte der letzten Tage waren doch wieder eindeutig. Warum das alles? DIE wissen doch genau, daß Silber und Gold zusammenhängen. Wenn Silber deutlich steigen sollte, wird das auch mehr Aufmerksamkeit auf Gold ziehen. Und das darf (noch) nicht sein. Beim Silber ist die Lage aber so extrem, daß nur mit überporportionalem Papier-Aufwand der Preis noch niedergehalten werden kann. DIE werden sich denken: Lieber mit Papier (ist bald eh wertlos) versuchen, die Lavine aufzuhalten anstatt jetzt das Fiasko losbrechen zu lassen. Einfach wie Grünspan - anstatt die Mißverhältnisse zu beseitigen und faire Preise zuzulassen wurschtelt man rum, um den Systemzusammenbruch zu verhindern. Der dann etwas später noch heftiger wird.
Manchmal reicht reicht ein Windhauch, um den Orkan zu entfesseln. Das kann Silber sein.

Ahoi!

J.

p.s. Wenn Du mal bei Internetauktionen schaust was dort an Medaillen ver"silbert" wird..... Die Leute hocken seit Jahren auf riesen Verlusten und haben es satt.


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Dear Mr Butler,

as base of discussion I put your letter in front. My questions follow behind.


Letter to COMEX Oct 8th 2001

October 8, 2001

Vincent Viola
Chairman
J. Robert Collins, Jr.
President
New York Mercantile Exchange, Inc.
One North End Avenue
World Financial Center
New York, NY 10282

Dear Mr. Viola and Mr. Collins:

This is to inform you that there is a serious and dangerous problem
in the silver futures market on the Commodity Exchange, Inc.
(COMEX), according to the just-released Commitment of Traders
Report (COT). The COT of Oct. 5, 2001, for positions as of Oct. 2,
clearly indicates a manipulation in progress. The amount of net short
contracts held by the large commercial category (normally considered
COMEX insiders), is obscene and preposterous in regards to market
concentration and compared to silver in the real world. There is no
way, that a reasonable person would not conclude that the
commercials' silver short position is both manipulative to the silver
price, and an extreme danger to the very existence of your
exchange.

In the past three weeks, the large commercials have increased their
net short position by 175 million ounces, or 350%, to 225 million
ounces net short. Last week alone, the large commercials sold net
short over 90 million ounces of paper silver futures contracts. Large
commercials now make up 80% of the entire futures short position.
The price of silver would be materially higher, were it not for this
manipulative and uneconomic naked short selling. The additional
175 million ounces sold short, in just three weeks, is more than any
country can produce in two years or much longer. It is more than all
known silver stockpiles in the entire world. It is not possible for the
short selling of 175 million ounces of silver, in a three week period,
not to manipulate the price.

Worse, the concentration of silver short positions among the large
commercials is troubling. Four or less traders hold 130 million ounces
net short. That's also greater than all known silver bullion in the
world, and more than any country produces annually. Unless these 4
or less traders own all the silver in the world, and then some, then
this is a starkly naked short position. To claim it might be a mining
hedge, considering the trading history of the large commercials,
would defy logic. To claim that it might be a hedge of metal
inventories would be silly. Did someone just come into 175 million
ounces of real silver in the past three weeks? It is obvious that the
large commercials are masquerading as hedgers - they are
speculators, pure and simple. By pretending to be hedgers, these
large commercials seek protection from basic commodity law which
proscribes that speculators not influence prices unduly. To be clear,
the four or less traders in the commercial category are manipulators,
or represent manipulators. There is absolutely no economic purpose
to their naked short position, save to depress the price of silver. You
must put an end to this manipulation.

On top of all the above, the Sep. 11 horror buried the 30 million
ounces of silver in the Scotia Mocatta warehouse, rendering it
unavailable for a long time. This 30 million ounces makes up 30% of
the entire COMEX silver inventory, the largest in the world. In fact,
the buried and unavailable silver comprises 25% of total known world
silver bullion inventory. One quarter of all known silver bullion in the

world is made unavailable overnight, and COMEX insider commercials
rush to sell short obscene amounts, on a 50 cent rally? Who do these
insiders think they are?

I am a silver analyst who has consistently recommended COMEX
silver warehouse receipts as the best method for holding physical
silver in size. Many people have taken my advice, and have
purchased these receipts. But, I must tell you, I am troubled by what
I see. First off, I am troubled that the COMEX has not been
forthcoming with public assurances that all the silver involved in the
WTC 4 warehouse is fully insured and that the owners will be
protected. All the insurance companies came forth, with great fanfare,
to proclaim there would be no attempt to invoke war or terrorist
exclusions in any WTC-insured losses. The COMEX's silence, on this
matter, is conspicuous and disturbing. Second, the sheer mismatch
between the extreme and concentrated commercial naked short
position, jumping 350% in three weeks, and the suddenly-reduced
available physical silver inventory, is most alarming. Inventory is
effectively sharply reduced, and the insiders short position explodes
350%. A reasonable person would contemplate default. This is your
notice, that if we do have a default in COMEX silver, or any market
emergencies related to restricting the rights of bona fide long
contract holders, it will be because of the concentrated commercial
COMEX- insider shorts.

No other market in the world, just COMEX silver, has such a large,
concentrated short position, where a few traders are allowed to be
short more than, literally, all the known material in the world. Given
the magnitude of the concentrated naked short position and the
condition of the Scotia Mocatta facility, I call on you to rectify this
outrageous situation immediately. It is your responsibility to end the
clear short side manipulation in silver by these insider crooks. I
understand that you are new to COMEX leadership, and your
backgrounds don't indicate a close association with the commercial
insider manipulators. If you don't end their crooked activities, you
will
be sanctioning those activities.

I have no other way of ending the silver manipulation, aside from
notifying you or writing about it in the public domain. It is not my
intent to inflame the situation. I would prefer you reigned in the
out-of-control insider manipulators - that's what self-regulation is
supposed to be about. However, if you choose not to address this
issue, or tell me why I'm off-base, I will have no other choice but to
publicly present the facts as I see them, and let people make up
their own minds. If I don't hear from you by my next publishing
deadline, close of business Wednesday, Oct. 10, 2001, I'll assume
you have aligned yourself with the insider crooks.

Ted Butler


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my questions:

your are talking of approximately 170Mio onces above ground inventory stockpiles which have to cope with about 175Mio net shorts recently.

For the last year the Silver Institute detected 500Mio ounces of stock piles and a silver analyst in Munich told me, that there are now 320Mio ounces left thus Buffet owns around 130Mio ounces. If you reduce Buffet's 130Mio from the total stock piles of 320Mio, we arrive at 190Mio ounces. Once again we reduce 30Mio ounces, buried in the cellars of the WTC, we get 160Mio ounces.

Is my calculation o.k., or do you really want to say, that including Buffets silver, there are only 170Mio ounces left?

Second, I believe that shorts of paper silver refer to attempts of traders to reinvest only a part of the money (50%?) into physical silver, because inventories decreased. By shorting paper they press down also the price of physical silver. If they reinvest let's say 50% of the money into real stuff, they can hide the manipulation, because the"weigh" of net shorts and longs is on the side of the shorts, while knowing that the real stuff will make the"touch-down". While hedging physical silver, they hide their purchases behind larger net shorts of papers.

Am I right?

respectfully,

T.S.


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Hi Pecunia,

sieh Dir doch einmal meine Antwort an Butler an. Stell Dir einmal vor, Buffet hat jetzt 130 Mio Unzen an physischem Silber und vielleicht noch eine Menge Kontrakte, von denen wir nichts wissen.

Was ist, wenn er davon ausgeht, daß die Kontrakte bald nicht mehr bedienbar sind? Er hat sie vielleicht kürzlich zu $4,20 eingekauft, stößt sie jetzt ab und reinvestiert vielleicht 50% direkt in physisches Silber, dessen Preis er durch das Abstoßen von Papier gedrückt hat. Es versteckt wohl jemand seine Longs hinter einer größeren Menge an Shorts.

Dann wird auch noch viel Papier-Silber durch Fonds gehandelt, die mit Warenkörben von Kommoden umgehen. Da sich die Gold/Silber-Ratio nicht wesentlich verändert hat, sinkt und steigt Silber bis jetzt mit Gold. Bleibt die Mischung der Warenkörbe dieselbe, ändert sich auch die Ratio nicht absonderlich.

Gruß,

T.S


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>p.s. Wenn Du mal bei Internetauktionen schaust was dort an Medaillen ver"silbert" wird..... Die Leute hocken seit Jahren auf riesen Verlusten und haben es satt.

Hallo Jan,
O.K., das Argument lass ich denn gelten.
Aber koennen so paar Futzis die Mehrnachfrage der Industrie (die bei sinkenden Preisen da ist) ueberkompensieren? Keine Ahnung! Glaubs aber nicht so recht...

pecunia

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>
>>p.s. Wenn Du mal bei Internetauktionen schaust was dort an Medaillen ver"silbert" wird..... Die Leute hocken seit Jahren auf riesen Verlusten und haben es satt.
>Hallo Jan,
>O.K., das Argument lass ich denn gelten.
>Aber koennen so paar Futzis die Mehrnachfrage der Industrie (die bei sinkenden Preisen da ist) ueberkompensieren? Keine Ahnung! Glaubs aber nicht so recht...
>pecunia

Eben nicht, aber die Preisexplosion wird halt solange aufgeschoben, bis die Doofies sogutwie alle ihr Silber los sind.

ciao!
SchlauFuchs


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>>Hi Jan,
>>hier sagst Du:
>>>daß keiner, der noch bei Verstand ist, zu diesen Preisen Silber verkauft, ist einleuchtend.
>>Also zu diesen Preisen wuerde ich den silbernen Kerzenstaender aus Omas Erbschaft auch nicht hergeben.
>>Dann sagst Du:
>>>Johann hat ja mehrfach gesagt, daß die Manöver nur dazu dienen, den Leuten den letzten Rest physischen Materials abzuluchsen.
>>Was denn nu? Wir ge- oder ver-kauft (vom kleinen Mann)?
>>Sicher ist fuer mich nur eins: Wegen des sehr tiefen Preises seit vielen, vielen Jahren haben die Lagerbestaende drastisch ABgenommen, nicht ZUgenommen. Jedes Druecken des Preises bewirkt MEHRverbrauch, nicht WENIGERverbrauch.
>>Damit bleibt fuer mich die vollkommen unverstaendliche frage: Warum wird auf Teufel komm heraus geshortet?
>>
>>Viele gruesse
>>pecunia
>Ja. Niemand mit Intelligenz und auch nur einer geringen Kenntnis der Marktlage würde jetzt noch verkaufen. DIE können also nur noch Erfolg bei Leuten haben, die sich von den Medien alles weißmachen lassen. Die Zeitungsberichte der letzten Tage waren doch wieder eindeutig. Warum das alles? DIE wissen doch genau, daß Silber und Gold zusammenhängen. Wenn Silber deutlich steigen sollte, wird das auch mehr Aufmerksamkeit auf Gold ziehen. Und das darf (noch) nicht sein. Beim Silber ist die Lage aber so extrem, daß nur mit überporportionalem Papier-Aufwand der Preis noch niedergehalten werden kann. DIE werden sich denken: Lieber mit Papier (ist bald eh wertlos) versuchen, die Lavine aufzuhalten anstatt jetzt das Fiasko losbrechen zu lassen. Einfach wie Grünspan - anstatt die Mißverhältnisse zu beseitigen und faire Preise zuzulassen wurschtelt man rum, um den Systemzusammenbruch zu verhindern. Der dann etwas später noch heftiger wird.
>Manchmal reicht reicht ein Windhauch, um den Orkan zu entfesseln. Das kann Silber sein.
>Ahoi!
>J.
>p.s. Wenn Du mal bei Internetauktionen schaust was dort an Medaillen ver"silbert" wird..... Die Leute hocken seit Jahren auf riesen Verlusten und haben es satt.

Die können die Sau erst durchs Dorf treiben wenn die vielen Staatsanleihen der Reichen auslaufen.Denn die können auch erst wechseln ins physische Lager wenn sie die Kohlen auf termin gesetzt haben.
Gruß EUKLID der nicht panisch wird wenn Gold auf 100 Dollars fällt sondern gerüstet bleibt um fett einzusteigen.Auch Silber kann auf 1 Doolar je Unze fallen dann wird auch abgenommen.Sorgen müssen wir ums höchstens um unsere schwachbrüstigen Minen machen die dann der Teufel holt.Vielleicht heißt der Teufel Greenspan der nach Bankrott alles übernimmt mit Falschgeld.Alles was mit der wertlosen Kohle noch zu kriegen ist wird mitgenommen,wobei immer eine Notration von Scheinchen bleiben sollte weil man das Timing nicht kennt.Was nützt es wenn man Sieger geworden wäre wenn man liquide geblieben wäre.
Gruß EUKLID

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aus irgendeinem Silberthread im WO Goldboard stammt die folgende interessante Ãœberlegung:

Buffett hat das Silber sicher nicht als physische Absicherung seines Fonds gekauft, da das gesamte Silber ja nur 2% (!!!) des Fondsvermögens ausmacht. Und das bei über 4000 Tonnen Silber - da sieht man, w i e unterbewertet Silber eigentlich ist. Warum sollte er in den letzten Jahren also nicht Silber verliehen haben. Er spart somit Lagerkosten, streicht einen Zins ein und bringt die mächtigen Shorter nicht in Verlegenheit. Und irgendwoher muss ja das Silber gekommen sein, das die letzten Jahre die bestehenden jährlichen Angebotslücken jeweils auffüllte. Natürlich drückt ein solches Vorgehen auch etwas den Silberpreis. Im grösseren Zusammenhang gesehen macht das aber sicher nicht viel aus und gibt Buffett sogar Gelegenheit, laufend weiter physisches Silber aufzukaufen. Das würde auch seiner Mentalität entsprechen.

Fazit: Buffett hat sehr wahrscheinlich viel weniger physisches Silber an Lager, wie vermutet und das wäre ein sehr gutes Vorzeichen für die künftige Preisentwicklung.

Gruss

tofir

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Ich glaub´s auch nicht, doch der Preis spricht Bände. Ganz offensichtlich klappt es noch.

Ahoi!

J.
>>p.s. Wenn Du mal bei Internetauktionen schaust was dort an Medaillen ver"silbert" wird..... Die Leute hocken seit Jahren auf riesen Verlusten und haben es satt.
>Hallo Jan,
>O.K., das Argument lass ich denn gelten.
>Aber koennen so paar Futzis die Mehrnachfrage der Industrie (die bei sinkenden Preisen da ist) ueberkompensieren? Keine Ahnung! Glaubs aber nicht so recht...
>pecunia


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Hallo,

Weigl hat mir erzählt, daß Buffet zuerst Kontrakte gekauft hat. Dann hat er eine Weile gewartet und dann kam der Schock, als er sich hat ausliefern lassen wollen. Um nicht dasselbe Schicksal wie die Hunts zu erleiden, hat er die Auslieferungen gestreckt und den Lieferanten Zeit gelassen. Die Auslieferungen liefen wohl zum Teil auch über London.

Gruß,

T.S.




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..., haben etwa die Shorts ihr Pulver schon verschossen?

Fragt sich Theo und grüßt.
<ul> ~ Kitco live cart</ul>
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