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any thoughts of a grand conspiracy to move the price of silver higher or lower for sustained periods

cohodkcohodk Posts: 19,123 ✭✭✭✭✭
edited July 20, 2019 7:16PM in Precious Metals

are nothing more than a fantasy offered by delusionary members of the market standing on a soapbox

I have no idea who this guy is but this this a precious metals forum and this dude shares his opinion which i thought might be appreciated.

https://seekingalpha.com/article/4276100-hi-ho-silver-real

Excuses are tools of the ignorant

Knowledge is the enemy of fear

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Comments

  • SmudgeSmudge Posts: 9,523 ✭✭✭✭✭

    Just an advertisement.

  • rickoricko Posts: 98,724 ✭✭✭✭✭

    This is the precious metals forum... not a political podium...Please restrict your comments to the topic and leave politics out of commentary. Cheers, RickO

  • maplemanmapleman Posts: 1,052 ✭✭✭✭✭

    @PerryHall said:

    @ZeppoShanski said:
    If you want to see it move ... wait for FAKE president Cheesepuff Donnie DayGlo to make some kinda statement about the gold-standard and silver-certs.

    He was talking last week about devaluing the dollar.

    Was this political rant really necessary?

    Partisan politics here?

  • derrybderryb Posts: 36,821 ✭✭✭✭✭

    Full context of the statement is in order:

    "Don't get me wrong; there is manipulation in the silver market when it comes to short-term spoofing and putting up price prints from time to time. However, any thoughts of a grand conspiracy to move the price of silver higher or lower for sustained periods are nothing more than a fantasy offered by delusionary members of the market standing on a soapbox."

    There is either manipulation or there is not manipulation. Guy contradicts himself.

    "Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey

  • PerryHallPerryHall Posts: 46,135 ✭✭✭✭✭

    @mapleman said:

    @PerryHall said:

    @ZeppoShanski said:
    If you want to see it move ... wait for FAKE president Cheesepuff Donnie DayGlo to make some kinda statement about the gold-standard and silver-certs.

    He was talking last week about devaluing the dollar.

    Was this political rant really necessary?

    Partisan politics here?

    It's hard to avoid on the PM Forum but it's usually a little more subtle. All the name calling is totally out of bounds.

    Worry is the interest you pay on a debt you may not owe.
    "Paper money eventually returns to its intrinsic value---zero."----Voltaire
    "Everything you say should be true, but not everything true should be said."----Voltaire

  • jmski52jmski52 Posts: 22,850 ✭✭✭✭✭

    I suspect that there is manipulation in both directions, but only one side has the ability to manipulate the silver and gold markets with massive naked shorts. Their long term strategy is to injure long side investors with periodic slams at low volume times enough to drive them from the market, thus enabling easier manipulation in the next round. Roadrunner says it best, wash, rinse, repeat.

    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • cohodkcohodk Posts: 19,123 ✭✭✭✭✭

    @derryb said:
    Full context of the statement is in order:

    "Don't get me wrong; there is manipulation in the silver market when it comes to short-term spoofing and putting up price prints from time to time. However, any thoughts of a grand conspiracy to move the price of silver higher or lower for sustained periods are nothing more than a fantasy offered by delusionary members of the market standing on a soapbox."

    There is either manipulation or there is not manipulation. Guy contradicts himself.

    Affecting the price for a few pennies over a few minutues is not the same as affecting price by 10s of dollars over years, as has been contended on this forum.

    Anyway, he seemed to have painted a positive technical picture for silver.

    Excuses are tools of the ignorant

    Knowledge is the enemy of fear

  • MsMorrisineMsMorrisine Posts: 33,077 ✭✭✭✭✭

    Enron manipulated the electricity market

    Current maintainer of Stone's Master List of Favorite Websites // My BST transactions
  • derrybderryb Posts: 36,821 ✭✭✭✭✭

    @cohodk said:

    Affecting the price for a few pennies over a few minutues is not the same as affecting price by 10s of dollars over years, as has been contended on this forum.

    When you total decades of short term manipulation you profit much more than a few pennies. When you continuously manipulate in the short term for decades you control the long term price.

    Doesn't matter how long each short term manipulation lasts. What matters is that is has been going on for a long time having a long time affect on price.

    "Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey

  • cohodkcohodk Posts: 19,123 ✭✭✭✭✭
    edited July 21, 2019 8:04AM

    @derryb said:

    When you continuously manipulate in the short term for decades you control the long term price.

    Except thats not true, which is evidenced in politics, demographics, real estate, religion, electricity markets, ect.

    Excuses are tools of the ignorant

    Knowledge is the enemy of fear

  • derrybderryb Posts: 36,821 ✭✭✭✭✭

    so if i can control price in the short term, for 10 years of continuous short terms, you're telling me that I had no control on the long term price during that 10 years. You make me laugh.

    "Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey

  • cohodkcohodk Posts: 19,123 ✭✭✭✭✭
    edited July 21, 2019 12:50PM

    I wish you continued success.

    Excuses are tools of the ignorant

    Knowledge is the enemy of fear

  • derrybderryb Posts: 36,821 ✭✭✭✭✭

    Not only do I understand how it all works, I completely understand how others are convinced otherwise.

    "Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey

  • MsMorrisineMsMorrisine Posts: 33,077 ✭✭✭✭✭

    Spoofing anyone?

    Current maintainer of Stone's Master List of Favorite Websites // My BST transactions
  • cohodkcohodk Posts: 19,123 ✭✭✭✭✭

    @derryb said:
    Not only do I understand how it all works, I completely understand how others are convinced otherwise.

    Good luck!!!!

    Excuses are tools of the ignorant

    Knowledge is the enemy of fear

  • TwoSides2aCoinTwoSides2aCoin Posts: 44,291 ✭✭✭✭✭

    I don't believe much of anything I read and not even half of what I see.

    The only things I see manipulated are minds.

  • HigashiyamaHigashiyama Posts: 2,192 ✭✭✭✭✭

    It might be worth reading or rereading Den of Thieves, which, if my memory serves me, offered a look into the various techniques that Mike Milken employed to engage in short term market manipulation.

    In general, short term market manipulation has no meaningful impact on longer term prices. The objective is to pump up trading gains.

    Higashiyama
  • derrybderryb Posts: 36,821 ✭✭✭✭✭

    @Higashiyama said:
    It might be worth reading or rereading Den of Thieves, which, if my memory serves me, offered a look into the various techniques that Mike Milken employed to engage in short term market manipulation.

    In general, short term market manipulation has no meaningful impact on longer term prices. The objective is to pump up trading gains.

    And when the same players manipulate over and over in the short term, the long term price is greatly affected. What we have in the silver market is the same players (via futures trading) driving prices down, then buying, then selling when market fundamentals push prices back up. With prices back up they begin the drive back down all over again. Wash, rinse, repeat and profit with each short term cycle.

    And this has no affect on long term prices? LOL

    "Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey

  • MsMorrisineMsMorrisine Posts: 33,077 ✭✭✭✭✭

    The spoofing involved both their buy and sell orders.

    Current maintainer of Stone's Master List of Favorite Websites // My BST transactions
  • cohodkcohodk Posts: 19,123 ✭✭✭✭✭

    Intellectual character and conspiracy theory. Great stuff.

    Excuses are tools of the ignorant

    Knowledge is the enemy of fear

  • jmski52jmski52 Posts: 22,850 ✭✭✭✭✭
    edited July 22, 2019 4:30AM

    Did Milken survey the former market participants to find out how many were shaken out from trading in his markets and never came back because of his short term spoofing? I doubt that he did.

    When prospective long investors are financially injured and chased away by the short term antics of the manipulators, it remains that much easier for naked shorting to be effective.

    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • cohodkcohodk Posts: 19,123 ✭✭✭✭✭

    @jmski52 said:

    When prospective long investors are financially injured and chased away by the short term antics of the manipulators

    First of all its hard to argue long term investors are harmed when silver and gold are both up 4 fold over the last 15 years. Second, if those investors are scared away, then they are weak and have zero conviction in their beliefs. They were never investors in the first place.

    Excuses are tools of the ignorant

    Knowledge is the enemy of fear

  • jmski52jmski52 Posts: 22,850 ✭✭✭✭✭
    edited July 22, 2019 8:49AM

    note the use of the word "prospective"

    its hard to argue long term investors are harmed when silver and gold are both up 4 fold over the last 15 years

    Firstly, is there any particular reason you pick 2004 as your baseline? Why not 2011?

    Secondly, aside from occasional "fat finger" blips in the stock market, we never see the same kind of naked short knockdowns of stocks that we see in gold. In fact, when things get hairy in the stock market, they immediately prohibit short selling altogether. Clearly, the agenda is to distract from the inevitable failure of the debt-based banking and financial system by throwing chum into the stock market.

    Lastly, I believe that the salient points would include a study of the expansion of the debt, including unfunded liabilities - from whatever starting date you choose, up to the current date - in relation to the price of gold during that same time period. I would also note the curious fact that most of the massive amounts of free money since 2008 have gone into an asset bubble other than precious metals, i.e. funding of stock buybacks and liquidation of bad banking debt with exactly zero consequences for the architects of the whole 2008 mortgage derivatives mess.

    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • rawteam1rawteam1 Posts: 2,472 ✭✭✭

    Lol, “shaking” out paper holders is meaningless, all manipulation talk is from those on the losing side of the trades or what you may call long term investors, lol, or insurance holders, even more funnier...

    keceph `anah
  • jmski52jmski52 Posts: 22,850 ✭✭✭✭✭

    Who said anything about paper holders? As for the long term investors/insurance holders that you are disparaging, I started some serious accumulation in 1998 and I'm quite pleased with how my position has turned out. No biggie.

    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • cohodkcohodk Posts: 19,123 ✭✭✭✭✭

    How can a "prospective" investor be financially harmed? If he is a potential investor then he never owned it in the first place. Or am i putting words into your mouth?

    I would like you to show me one, just one, naked short smackdown. Just one, thats all. You conspiracy folk make up stuff to suit your narrative.

    Every liability is an unfunded liability, unless its 100% collateralized, and even then kne could argue the value of the underlying. Why do gold bugs get so caught up in that?

    If you owned stock then you benefitted handsomely from that "free money". However, if you thought you were smarter than everyone else and bought PMs based on what you thought you know, then today your conviction in manipulatin and conspiracy is even stronger, because you are looking for a scapegoat for why everyone else made money except you.

    Excuses are tools of the ignorant

    Knowledge is the enemy of fear

  • jmski52jmski52 Posts: 22,850 ✭✭✭✭✭

    OK, instead of "prospective" let's just say "newbie".

    The smackdowns have been well-documented here whenever an obvious one occurs. I will put this on my "reminder list" for you.

    Since Social Security is no longer a separate account, you got me on the unfunded liability comment. How would you describe the outstanding debt and government programs that exceed the budget and contribute to the budget deficits? Slush money?

    So, you don't consider it "free money"? Was it somehow earned by someone? Let me know on that. I'd like to know the thought process.

    Smarter than anyone? That's pretty subjective. I don't need a scapegoat when I've built a position in assets that I understand, at reasonable prices. None of that has anything to do with the fact of manipulation in the metals markets, nor is it conspiracy.

    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • rawteam1rawteam1 Posts: 2,472 ✭✭✭

    Ahh, the supposed manipulation is via a paper contract, if one didnt sell their position at 40+, then its plain and simple, that person(s) made a huge mistake, there is no argument at any level, that’s is what the market actually presented to any taker, silver physical wise is worth $4 an oz, I will only pay what Silver Wheaton pays or lower, immaterial of their up front deals, too many private minters entering the silver market, innumerable ounces available...

    keceph `anah
  • derrybderryb Posts: 36,821 ✭✭✭✭✭

    Gold & Silver Price Manipulation: The Greatest Trick Ever Pulled

    "By siphoning off demand for real gold and silver and channeling it into unbacked or fractionally-backed credits and futures, the central banks and their bullion bank counterparts have done an amazing job in creating an entire market structure of futures and synthetics trading that is unconnected to the physical gold and silver markets. This structure siphons off demand away from the physical precious metals markets, and in doing so, creates a system of price discovery which is nothing to do with physical gold and silver supply and demand."

    "Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey

  • jmski52jmski52 Posts: 22,850 ✭✭✭✭✭
    edited July 22, 2019 2:29PM

    You beat me to it, derryb.. :)

    Ahh, the supposed manipulation is via a paper contract, if one didnt sell their position at 40+, then its plain and simple, that person(s) made a huge mistake, there is no argument at any level, that’s is what the market actually presented to any taker, silver physical wise is worth $4 an oz,

    I sold a minor portion of my silver @ $35, and I've since bought more than that back. There's no mistake in holding what I consider to be a valuable asset. Go ahead and wait for $4/oz. I don't need to do that. You'll be waiting a very long time.

    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • cohodkcohodk Posts: 19,123 ✭✭✭✭✭

    @derryb said:
    Gold & Silver Price Manipulation: The Greatest Trick Ever Pulled

    "By siphoning off demand for real gold and silver and channeling it into unbacked or fractionally-backed credits and futures, the central banks and their bullion bank counterparts have done an amazing job in creating an entire market structure of futures and synthetics trading that is unconnected to the physical gold and silver markets. This structure siphons off demand away from the physical precious metals markets, and in doing so, creates a system of price discovery which is nothing to do with physical gold and silver supply and demand."

    Very hypothetical. One could argue that ETFs created the newbies that jmski describes. It is both foolish and reckless to assume that one would have bought 10 oz of physical gold instead of 100 shares of GLD.

    One could also argue that the ease of buying (and selling) GLD has created more demand than otherwise might be.

    Excuses are tools of the ignorant

    Knowledge is the enemy of fear

  • cohodkcohodk Posts: 19,123 ✭✭✭✭✭

    I dont believe ive ever commented on the notion of "free money" in any way. Why are you putting words in my mouth? Perhaps i should just keep it shut?

    Excuses are tools of the ignorant

    Knowledge is the enemy of fear

  • rawteam1rawteam1 Posts: 2,472 ✭✭✭

    Without the etf’s there’s significantly less demand and they not only provided a huge price number to exit all physical metals but also allowed anyone to make even a greater return via the paper/computer trade at the same time and even better, they also allowed you to make just as big a return going the other way...

    keceph `anah
  • jmski52jmski52 Posts: 22,850 ✭✭✭✭✭
    edited July 23, 2019 7:31AM

    ETFs...……. allowed anyone to make even a greater return via the paper/computer trade at the same time and even better, they also allowed you to make just as big a return going the other way...

    Exactly. That's why owning physical is a kind of insurance against doing something in a rash and stupid way. You have to go through the exercise of negotiating price and shipping the stuff in order to sell it. That gives plenty of opportunity for forethought. :)

    ETFs = bad mojo (excellent way for the little guy to get scalped in a hurry.)

    Without the etf’s there’s significantly less demand and they not only provided a huge price number to exit all physical metals

    Not so sure that I agree with this at all. I think that they are two separate markets with two mostly different clientele, except maybe for derryb.

    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • derrybderryb Posts: 36,821 ✭✭✭✭✭

    ETFs create artificial supply.

    "Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey

  • cohodkcohodk Posts: 19,123 ✭✭✭✭✭

    @derryb said:
    ETFs create artificial supply.

    Please explain as the money that goes into ETFs is used to buy physical metals.

    Excuses are tools of the ignorant

    Knowledge is the enemy of fear

  • derrybderryb Posts: 36,821 ✭✭✭✭✭
    edited July 24, 2019 6:36AM

    Very, very few PM ETFs claim to be backed by physical metal. Most are derivatives or index based. There are legitimate questions on those that do claim to have the backing.

    As with any paper promise when it comes to precious metals, supply is limited only by imagination.

    "Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey

  • jmski52jmski52 Posts: 22,850 ✭✭✭✭✭
    edited July 24, 2019 8:30AM

    The last time I read an ETF prospectus, it was very opaque as to who owned what and where that what was actually kept.

    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • derrybderryb Posts: 36,821 ✭✭✭✭✭
    edited July 24, 2019 12:36PM

    "Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey

  • cohodkcohodk Posts: 19,123 ✭✭✭✭✭

    @derryb said:
    Very, very few PM ETFs claim to be backed by physical metal. Most are derivatives or index based. There are legitimate questions on those that do claim to have the backing.

    As with any paper promise when it comes to precious metals, supply is limited only by imagination.

    The largest etfs GLD and SLV are backed by physical metals and you darn well know that.

    Excuses are tools of the ignorant

    Knowledge is the enemy of fear

  • derrybderryb Posts: 36,821 ✭✭✭✭✭
    edited July 24, 2019 2:28PM

    I correctly pointed out that most PM related ETFs are not backed by physical metals. Don't you hate it when I'm right?

    "Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey

  • cohodkcohodk Posts: 19,123 ✭✭✭✭✭
    edited July 25, 2019 3:46AM

    @derryb said:
    I correctly pointed out that most PM related ETFs are not backed by physical metals. Don't you hate it when I'm right?

    Haha...many of us are waiting for you to be right. Several have even died in this wait.

    You know full well that the ETFs backed by bullion have only increased the demand for metals, rather than taken it away. Thats the reason why you deflected the conversation to paper backed leveraged ETFs..

    I do find it interesting that you berate rawteam1 for "not knowing when to sell", when you are on record on this very forum for touting your monster box purchases in the mid $20's.

    Yes, we do eagerly await your being right. If only you were warned. Lol

    Excuses are tools of the ignorant

    Knowledge is the enemy of fear

  • derrybderryb Posts: 36,821 ✭✭✭✭✭

    I guess that's a "yes." LOL

    "Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey

  • rawteam1rawteam1 Posts: 2,472 ✭✭✭

    Lol, he didn’t berate me, he just tried to use me as a cover for himself, comprehension challenges are rough stuff...

    keceph `anah
  • jmski52jmski52 Posts: 22,850 ✭✭✭✭✭

    Reading that prospectus, there is ample lack of responsibility, no clear indication of who owns the silver, multiple layers of involvement by multiple parties, and international law between the silver and the investor. Good luck if there's ever a problem or breakdown in the chain.

    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • cohodkcohodk Posts: 19,123 ✭✭✭✭✭

    Has anyone ever seen a prospectus for gold or silver bullion?

    Excuses are tools of the ignorant

    Knowledge is the enemy of fear

  • jmski52jmski52 Posts: 22,850 ✭✭✭✭✭

    lol, that's pretty funny. :)

    Q: Are You Printing Money? Bernanke: Not Literally

    I knew it would happen.
  • rawteam1rawteam1 Posts: 2,472 ✭✭✭

    @cohodk said:
    Has anyone ever seen a prospectus for gold or silver bullion?

    No, but If anyone has a picture of derryb (the walking gold and silver bullion prospectus) that would suffice...

    keceph `anah
  • cohodkcohodk Posts: 19,123 ✭✭✭✭✭

    @jmski52 said:
    lol, that's pretty funny. :)

    Yeah....i guess you're right. Absolutely no risk with bullion.

    Excuses are tools of the ignorant

    Knowledge is the enemy of fear

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