J.P. Morgan pays $50 an ounce for silver

[hoarder]

According to these folks:

http://www.libertycoinservice.com/images/stories/lcsnewsletter/current/currentnews.pdf

[osoab]

silver from COMEX vaults.
One man reported that his company
owned 4,000 long March contracts (20
million ounces of silver) for which delivery
of physical silver was demanded.
The counterparty was JPMorgan Chase.
Instead of silver, the bank offered cash.
After the first offer was refused, the
bank offered more than $40 per ounce.
When the company turned down that
offer, JPMorgan Chase apparently
threatened the company that the bank
would deliver physical silver against
other contracts, then declare a “force
majeure” inability to deliver all the silver
to this particular party. After this,
the company accepted a cash payment,
reported to have been for more than
$50 per ounce!

This is part of the Wynter Benton stuff. Nice way to word it. "one man"

http://gold-silver.us/forum/gold-silver-precious-metals/reverse-raid-on-the-crimex-silver-targets-$37-oz/

[woodman]

Why would they pay that when they could buy bullion for far less and satisfy demand?

[osoab]

Why would they pay that when they could buy bullion for far less and satisfy demand?


I don't think they can come up with 20 million ounces on demand without upsetting the market. A higher price would almost be inevitable.

I should also add that coming up with 20 million ounces of good delivery bars would be hard to come by especially if others are demanding delivery. I am using Sprott's difficulty in acquiring ounces in December as my basis.

[Ponce]

Turn around and have 100 agents go around buying more silver........something big is up if they are willing to pay $50.00 per oz.

[Twisted Titan]

In the coming months.........


That'll be Cheap

[Ponce]

I wanted a simple island with no frills, you know?, like.........3X6 miles with one small hill and if lucky with running water............................at the rate that silver is going up looks like I'll be able to buy a WHOLEEEEEEE country.

[Serpo]

In the coming months.........


That'll be Cheap


Its cheap now............

[YukonCornelius]

It's like when I try to explain the danger banks pose to us to people apathetic to the subject...what can't you do with all the money in the world???

[gunDriller]

It's like when I try to explain the danger banks pose to us to people apathetic to the subject...what can't you do with all the money in the world???


many resourceful "just plain folks" can do more with $1 million than city-slickers can do with $1 billion.