[Disestablishmentarian]

"In Tokyo shops and Japanese bullion counters, you are not buying silver in the 70s; you are paying the equivalent of $120–130 an ounce because that is what it costs to replace inventory once you factor in tight wholesale supply, shipping, insurance, currency chaos, and the growing sense that the next shipment might not show up on time, or at all.

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

That is the exact issue.

The paper silver market in NY (i.e., COMEX) has completely lost contact with the physical market. Unlike other financial crises of recent decades, Fed cannot fix (manipulate) this, as they can print paper but they cannot print Silver atoms.

The Shanghai price closed Wednesday at about $12 premium above the paper "Price" in NY.

Shanghai metal exchange is closed until Jan 5th for the New Year. Expecting major fireworks when it reopens Monday.

[bitt]

[Pete from Shawnee Mission]

True, but what they might have to do is loan the banks money to buy silver (if possible) to cover any short positions they might if some party demands physical delivery and the bank in the meantime loaned the silver out.