Got Silver? Now is the Time for Every Patriot to Get Some
Silver: Still The Investment Of A Lifetime
By Giordano Bruno
Neithercorp Press – 11/12/2010
Silver is the common man’s currency. It always has been, and it always will be. While gold holds its place in history as the great stabilizer of economies and the shield against hyperinflation, its shine and its safety should not distract us from its brother, silver, whose uses are numerous and whose value is often more attainable for those seeking a solid investment outside of precarious paper securities.
Gold’s unprecedented upsurge in price the past year alone is now becoming the stuff of legend, and it is also something we at Neithercorp have been predicting for a while now:
http://neithercorp.us/npress/?p=184
http://neithercorp.us/npress/?p=579
The mainstream media attacks on precious metals were so extreme last year that they began to border on the bizarre. The “cult of fiat” was relentless in their attempts to slander gold investors and it seemed as though no matter how well the yellow stuff did, or how dismal the dollar’s performance was, they would never get tired of the disinformation game. Fast forward a year later, however, and they have been utterly silenced. What a difference twelve short months can make…
As I write this, gold is holding after a spectacular drive at around $1390, which is in line with my prediction of $1350 to $1450 by winter 2010, and on track to meet my prediction of $1500 by the beginning of next year. We’ll have to wait and see, but what seemed absolutely out of reach during this summer is now looking rather simple to achieve today. Of course, silver has been a bit harder to put a finger on, and there are many unfortunate reasons for this.
The silver market was wholly dominated for at least two decades by only a few corporate banks, but primarily through the infamous JP Morgan and the HSBC. Using coordinated naked short selling and massive amounts of capital, they have been able to knock silver down every time its value fell below a certain ratio to gold; usually 60:1. Only recently has that ratio moved slightly closer to the true wealth of silver. The historical average ranges between 16-33 ounces of silver for every ounce of gold.
These banks have also been issuing paper silver securities, usually in the form of ETF’s, which have no REAL silver backing them. These securities give investors the illusion that there is too much silver on the market, and not enough buyers. This causes devaluation in the metal.
Gold has suffered from the same manipulation in the past, but the silver market is even more tightly controlled, at least, until this year…
In November of 2009, a metals trader in London by the name of Andrew Maguire contacted the CFTC with inside information that JP Morgan Chase Bank was deliberately interfering with the silver market on an enormous scale. He not only told the CFTC how the bankers were doing it, he PREDICTED when they would do it again! Maguire gave two days advanced warning that JP Morgan would attack silver on Feb 5, 2010. The market played out exactly as he said it would:
The bankers were now caught red handed. The market could only go up from there….
Indeed, silver is now holding at around $27 an ounce, up from less than $10 an ounce two years ago, closing in on a 300% gain. If you bought silver in 2008 as I did, then you’ve made out incredibly well in a very minimal time span. But what about people who were afraid to dive into the market back then, or who just weren’t aware of silver as an investment at all? Have they missed out? Is the $30 mark as good as it gets? I believe that silver still has a long way to go before it peaks, and room yet for millions of new buyers who are in need of a safe haven against the imploding dollar but don’t have the finances to purchase gold. Here’s why…
Bank Fraud Exposure Hitting Mainstream
The Andrew Maguire incident was just the beginning and the event acted as a springboard. Both JP Morgan and HSBC are now under investigation for silver manipulation pending a lawsuit filed in New York. The suit accuses the banks of using their 85% commercial net short position in the silver market to control its value on the COMEX:
CFTC Commissioner Bart Chilton has announced his belief that there is, in fact, manipulation of the silver market. In his statement he said:
“I believe that there have been repeated attempts to influence prices in the silver markets. There have been fraudulent efforts to persuade and deviously control that price. Based on what I have been told by members of the public, and reviewed in publicly available documents, I believe violations to the Commodity Exchange Act (CEA) have taken place in silver markets and that any such violation of the law in this regard should be prosecuted.”
http://www.cftc.gov/PressRoom/SpeechesTestimony/chiltonstatement102610.html
This is an extremely rare admission by the CFTC, which has for many years ignored all complaints and evidence pointing to bank interference in precious metals.
The Department of Justice has also launched a parallel probe into criminal wrongdoing on the part of JP Morgan (though I doubt much good will come out of the DOJ):
http://www.nypost.com/p/news/business/feds_probing_jpmorgan_trades_in_gZzMvWBqOJpB55M7Rh9vwM
The bottom line is that the corruption in silver trade has been brought into the light of day, which means banks will have to, at the very least, back away from their activities to a point, which will allow PM’s to grow according to free market fundamentals, instead of global banking whims. This explains why silver has jumped to $27 an ounce so quickly, but it also signals the possibility of even greater gains in the near future, especially in light of QE2 and the weakening dollar.
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Note from Stewart Rhodes
As Giordano said in his article, it is certainly critical that we have the core physical necessities in order, but we also need to have sound money in hand. A free people, if they are to remain free and independent, must have food security ( or “sustenance security” since we also need shelter, fuel, medicine, etc), physical security (defense from theft and violence), and also financial security. You need all three. With silver fluctuating between $25.00 and $28.00 an ounce, it is still affordable. Think of how much you spend on just one dinner out, one evening with friends having beers while watching a game, or even one trip through a fast food drive-through. Even if on a very tight budget, we can all buy at least a few coins, such as the one ounce silver American Eagle, the silver Canadian Maple Leaf, or other silver coins from national mints or private mints. Or a few of the pre-65 American dimes, quarters, or half dollars which were 90% silver. Any of those can be bought anonymously at local coin shops for a few dollars over the spot price of silver.
We should all face the fact that our dollar is heading for a crash, and we should prepare for that by making sure we have food security (some food storage), physical security (ways to protect ourselves, our families, and our neighborhoods, towns, and counties), and economic security. Time to get some silver in your hands, in whatever form and through whatever source you think best. If you work each day to improve just a little on each of those three core areas of preparation and independence, including exchanging fiat money for real money, we will be a stronger people who are better able to weather the coming storm. Get busy!
Stewart Rhodes
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November 19th, 2010 at 2:46 pm
Good straight forward info. Not a lot out there now days.
Thanks Oath Keepers
November 19th, 2010 at 4:05 pm
I read over 100 pages of global financial news weekly. The worlds fiat currencies are all in trouble as they approach the average 75 year life span of these financial instruments. ETF’s, mining stocks and other forms of paper denominated precious metals are fine for normal times but these are anything but normal times. Owning physical silver or gold is insurance against being left empty handed. For the first time, central banks around the world are net buyers of precious metals. Recently the president of the World Bank suggested a linkage in a global currency to gold. Countries around the world are all hoarding gold for one reason, they currently don’t trust any fiat currency now or for the foreseeable future.
Thank you Oath Keepers for presenting this valuable information to us, your members.
November 19th, 2010 at 5:53 pm
Max Keiser is suggesting that everyone purchase at least 1 ounce of silver in order to cause an unpleasant predicament for JP Morgan. They have sold silver contracts that don’t exist. They engage in naked short selling. This is a form of counterfeiting.” The point of the ‘Crash JP Morgan Buy Silver’ campaign is to force JP Morgan to cover its negative bets. “There’s no way they can cover their liabilities if we all buy 1 silver coin and demand physical delivery,” says Keiser.
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November 19th, 2010 at 9:41 pm
How do we buy Silver and Gold and do have to pay tax on it ?
Thank you, The Wolfman
November 20th, 2010 at 6:00 am
I buy mine at http://www.Kitco.com who has been in business for 30 years. There’s no tax but if you want to buy just 1 coin, it’s a good idea to buy locally at a coin shop to avoid shipping charges.
November 20th, 2010 at 8:23 am
Im new at all this silver/gold thing.and im a lazy asshole.I just hope something can give me the energy and drive to do what i need to do.and thank you all at oathkeepers.you give me faith.
November 20th, 2010 at 1:39 pm
Look into silversaver.com a very affordable and easy way to buy silver. recommended by David Morgan(the silver guru) silver-investor.com.
November 21st, 2010 at 5:33 am
My friends and family used to snicker and laugh up their sleeves when I bought $1000 bags of junk silver at four (4) times face value.
November 29th, 2010 at 1:42 pm
Look in your area CraigsList.com and put Silver in the PURCHASE search box and start looking in your oen neighborhoods. I purchased a digital scale for $40 that I use for weighing gunpowder (Reloading) and also to travel locally when paying $27/ Troy Ounce for silver. REGARDLESS if it’s a mercury dime, Morgan silver dolar or whatever… I PAY $27 / Ounce. Cash now, PERIOD!
And I stay busy!
November 29th, 2010 at 5:26 pm
All this information is extremely appreciated. God bless you all.