Buy Silver Now!
(While supplies last.)
Silver Stock Report
by Jason Hommel, January 26, 2009
Adam Hamilton writes an excellent report on why the
deflation argument is in error.
Big Inflation Coming, Jan 23, 3458 words
main point of the article, is that inflation and deflation are not "price
changes of assets", but rather, are the definitions of either an increase,
or decrease in the amount of money. And the point is that there has
been massive inflation, as the Fed has exploded the monetary base,
M0, from $200 billion to $1500 billion.
My opinion is that the
arguments that "there is deflation" are as bad as the arguments over the
last 10 years, that "inflation is mild" because those people were looking
at price changes, and not the increases in M3, which has more than tripled
in the last ten years, from $4 trillion to over $14 trillion. Those
bad arguments left people out in the cold, missing the bull market in
precious metals so far.
To succeed with investing, your
investments MUST outpace inflation in the long run. Silver is poised
to do that, and more, as it historically outperforms gold during bull
markets in the precious metals. The bull market in silver has just
A lot of my clients are telling me that they
also have Perth Mint Certificates, or "silver bullion" accounts
at LBMA member banks, or the ETF SLV, or that they have physical stored in
safety deposit boxes in banks. In my well researched opinion, none
of that is safe. You must get and lift your own silver, in your
own safe. That's the entire point of precious metal; it is payment
in full, and nobody's promise. If you are trusting a person's
promise to pay you silver or gold, you don't have silver or gold, by
definition, you have a promise, instead.
In the 2008 CPM Group
yearbook, on page 16, they list the Estimated Silver Inventories in London
and Zurich at about 75 million ounces for 2006. The CPM group also
lists that the LBMA annual trading volumes in silver are 30 billion
ounces. How can you use 75 million oz. to trade 30 billion, which is
400 times as much? Personally speaking, I can barely sell
5000 oz./day, when I have nearly 200,000 oz.! With 250 trading
days/year, I should be able to sell about 1.2 million to 2 million oz. of
silver, tops, annually, which is only about 10 times as much. So
either my business is the least efficient on earth, or theirs is the
most. But mine cannot be the least efficient, since I'm one of
the only people on earth who can ship SAME DAY, so something is amiss at
In my opinion, none of the promises of any major
institutions these days is worth anything. How can they be trusted
when they all need bail outs? Please read the terms of the LBMA
accounts, in their own words:
This is an account where specific bars are not set
aside and the customer has a general entitlement to the metal. It
is the most convenient, cheapest and most commonly used method of holding
The units of these accounts are one fine ounce of gold and one
ounce of silver based upon a 995 LGD (London Good Delivery) gold bar and a
999 fine LGD silver bar respectively. Transactions may be settled by
credits or debits to the account while the balance represents the
indebtedness between the two parties.
Credit balances on the account do not entitle the creditor to
specific bars of gold or silver, but are backed by the general stock of
the bullion dealer with whom the account is held. The client is an
Should the client wish to receive actual metal, this is done by
‘allocating’ specific bars or equivalent bullion product, the fine gold
content of which is then debited from the allocated account.
In my opinion, my well researched opinion, if you
think you own silver, held for you by another, you are merely helping to
suppress the price of silver, as your potential silver demand has been
successfully diverted into trusting a promise from a bankrupt institution,
instead. So, thank you for helping to suppress the price of real
silver, which makes it that much cheaper for everyone else who is smart
enough to buy the real thing, today.
Ted Butler, is again hammering
the CFTC for not ending the manipulation, a crime in progress.
luck to him. I have no faith that the government will act in any way
other than to protect their paper money masters. After all, the
Bible says that the borrower is the servant to the lender, and the U.S.
government is a borrower from the Fed, and thus, takes marching orders
from the Fed, and helps to continue to keep the value of the paper dollar
strong. Eventually, the U.S. government may turn on the money
masters, the harlot usurers, but I see no evidence of that brewing
I suppose I should be angry at the CFTC for not
doing its job of ending the manipulation and protecting free markets from
manipulation. However, I have a different perspective. Maybe I
should send the CFTC a case of fine wine for helping to keep the silver
price so low to enable the greatest investment opportunity in all of human
history to take place while I'm coming of age just at the right time to be
able to take advantage of it. The overall manipulation of our
generation continues in the sense that banks will not lend to enterprises
who deal in silver, which reduces the competition in the field of bullion
dealers and mints. And the manipulation of the U.S. Mint, in failing
to meet their mandate to mint enough coins, is again part of the
opportunity that exists today.
And so, I'm proud to be able to
offer silver at prices lower than those offered by the U.S. Mint.,
which are often from $4-5 to $10/oz. over the silver price!
privately minted rounds are offered at from $2 to $2.25 over the spot
price, depending on when the spot price was established.
at www.Seekbullion.com, We have
5,000 Buffalo 1 oz. .999 fine silver Rounds, in 26 separate auctions, some
with a fixed reserve price, and others have a variable price that will be
set around the last hour, which appears as if it will be significantly
lower as the price of silver dropped this afternoon. We hope
to offer similar amounts, nightly, Monday-Thursday and Saturday.
I will be speaking at the
2009 Phoenix Resource Investment
Conference & Silver Summit
Feb 21 & Feb 22, 2009
If you have never attended a natural resource show, it's a great learning experience to hear
from some of the best speakers who are newsletter writers and investors
in many natural resource stocks. This year's Phoenix show
is co-sponsored the Silver Summit, so many silver mining and exploration companies
will be there. The show is FREE.
Register online, today. And don't forget to book your hotel rooms
This will be my first show in over a year, since my son Jude was born
on July 16th.