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Message Subject 192 Million Ounces of Paper Silver Dumped on Market in 10 Minutes On NFP Release!
Poster Handle Anonymous Coward
Post Content
I have a handed down gold stamp collection. Like 10,000 24 karat gold stamps. If I rolled every stamp into a ball I wouldnt even get an ounce.

Is paper silver like this? What is the point of them doing this? Will this beneifit people that have hard silver? please explain
 Quoting: Anonymous Coward 2679163


Here's what this means....

First off, your gold stamp collection is just fine.

The issue is in our financial markets,where virtually any trading company can sell pieces of paper labeled 'One Ounce .999 silver' as long as they promise to exchange it for a real ounce of silver upon demand of the purchaser. These pieces of paper sold like crazy and buyers squirreled away their stacks of paper as if it was the real precious metal. Because most large buyers didnt want to take physical possession of their gold, financial institutions were able to issue more paper i.o.u's than they could back up as they knew only a fraction of buyers would seek to redeem their paper for the real deal. There are now more gold and silver IOU's than gold and silver to back them up (massive understatement). Silver investors have been calling for official investigations into this massive fraud for close to decade now, to no avail.

Now, with Germany bringing back its gold for physical inventory and perhaps other major central banks following suit, the ponzi scheme will be more impossible to maintain.

What that means for gold & silver prices is they may well go through the roof as more buyers demand their gold & silver in actual assayed bullion. The demand is massive - the actual precious metals are really quite limited...far more limited than the paper market.

anyways, yes, your cool stamp collection should only grow in value!
 
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