Stock Pile Evaporation

There is more beginning confirmation of what the call a squeeze in the markets meaning the price of said metal and actually supply of said metal.

In others words due to electronic contracts  such as silver and gold  ETF'S  (Electronic Trade Funds) which is a claim on a piece of metal completely out number the actual amount of metal within the custodians warehouse reserve meaning there are more people who think they own the metal than the real metal that truly exists or that is stored in the warehouse. this counteracts the laws of nature.

What dose this really mean it tells me that the physiological switch is being made from electronic claims of said metal to the actual metal itself - people want the real metal and will drain the complete warehouse supply dry at the same time miners are portaging mines and selling below the cost of production, (loosing money)
this cannot and will not go on forever without the slue increasing.

Gns + Research

In just seven months, total silver inventories declined from a peak of 1,143 metric tons to 391 (mt) metric tons in November that year.  Even though silver stocks continued to decline in 2014… withdrawals were small.

So, in just 15 months, the silver warehouse stocks at the Shanghai Futures Exchange declined 82% from 1,143 mt to the present 200 mt.  With all the Chinese metal rehypothecation problems currently taking place, it will be interesting to see how this unfolds throughout the summer.

Hope everyone has a Happy Fourth of July Holiday.  We must enjoy our holidays when we can get them.  Who knows how financial and economic events will impact our lives in the future.