VIDEO: "The Coming Silver Shortage" - more evidence for silver shortag

[youtube]http://www.youtube.com/watch?v=usJtxYKk59U[/youtube]

Learn more here: http://CrushTheStreet.com/Silver

Transcript:

Everyone loves a slam dunk investment, little risk, big upside, and a no brainer.

Right now there is a severe shortage brewing in the silver markets that could easily double or triple their money in the next few years.

Last year's total mine production for silver was 819 million ounces, yet demand was 1.1 billion ounces.

The total shortfall was 262 million ounces for 2013. However, much of that gap was closed by recycled silver and government stockpiles...but not all of it, the shortage is there.

Recycled silver supply last year fell 24%, the largest drop on record!

7 out of 10 of the leading primary silver mines produced LESS silver in 2013 than they did in 2012.

Nevada, known as the silver state, produced only 7.4 million troy ounces in 2013, compared to 25 million troy ounces in 1997.

This silver story just gets better and better, ore grades have collapsed 95% according to the USGS. The mining companies can't turn a profit, and exploration has almost come to a complete halt.

On the demand side, physical demand rose by 13%, so much so that the U.S. mint literally sold out!

China, who in 2005 used less than a million ounces of silver for solar panels, absorbed 35 million ounces just for solar in 2013.

62% of silver is used for industrial applications like nearly all of our electronics, biology, medicine, and other commercial uses. 21% is used for jewelry and 12% for coins.

It is safe to say that 95% of all silver consumed is gone, never to enter the supply side again.

On the industrial side of silver, there is about 28 cents in your cell phone, unless silver reaches the thousands of dollars per ounce, that silver is gone!

Silver formed into jewelry is the most costly silver, both because of its use and personal value to those who own it. This silver is essentially gone!

Coins, FutureMoneyTrends.com considers coins like Silver Eagles and Canadian Maples permanently off the market, never to experience 1,800 degrees again! To consider this above ground available silver is a farce. This silver is gone!

Silver's new uses are rising, all available supply is being consumed and a real shortage in the physical markets is being completely ignored due to the paper markets which sell at least 100 ounces of silver for every physical ounce in reality that is available.

Silver's use in solar panels was not even reported in 1999, by 2015, 100 million ounces of silver are projected for solar energy use.

The price of silver, set largely by the COMEX, currently has one of the highest concentrated short positions with 8 largest COMEX shorts near record highs for silver.

Unlike other commodities where it is the producers themselves hedging their sales and locking in prices for future production, the actual silver miners hedging is at a multi-decade low.

This silver manipulation by the worlds largest banks, supported by the CFTC, U.S. Treasury, and Federal Reserve has been so successful, that they have not only crushed the price of silver in spite of rising demand, but they have crushed the mining shares and future investment capital for the entire sector.

Simply put, the silver shorts will be squeezed due to a real physical silver shortage that is upon us, when this happens, all hell will break loose in both the paper and physical precious metal markets.

Your opportunity is to own silver today, for less than the cost an actual mining company can even produce it for.

This is investment is not an IF question, but a WHEN question....

When silver rises

When the price explodes

When the shorts get squeezed out...

To maximize your opportunity, subscribe at http://CrushTheStreet.com/Silver

Receive a free report on the 3 best ways to profit from a rising silver price. The report is free and this opportunity to profit from the silver price suppression has been 35 years in the making.

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Usually, shortages and hell breaks looses and price explosions are solved by existing stock owners selling. How much silver stock was accumulated over the past years? If I believe official figures, 2013's $30>$20 price drop didn't even need existing stock sales. Just the same level of 'less' demand as the year earlier (notably being ETF's that ceased to add).

 

Imagine a silver shortage actually happens, supply will drop and prices will rise... People who bought silver at the peak and all the way down through to $25 will look to cash in to recoup some of their losses. Millions upon millions of ounces could easily hit the market around the same time and cover any shortage. And people will also start to reclaim and recycle as it would be more worthwhile to do so

 

Good points. As the price would increase, selling pressure would increase. But the main point here is physical NEW supply is dwindling. Industry uses way more silver than investors; as the video says, "63% used for industrial applications, 21% jewely..."

 

Yeppper to all of the above. Think of how many millions of eagles and maples alone that have been purchased from 26 (when the floor broke) to 18'ish. Thems are a lot of ounces. 100 million? And that is just 2 brand names. Hence why I bought limited mintage bullion coins...and will continue to so.

 

Year 0000 production zero (everybody needed to swap Jesus' dipers)
Year 0001 production 800, 800 consumed, stockpile = 0, price = 8
Year 0002 production 1000, 800 consumed, stockpile = 200, price = 10
Year 0003 production 1000, 800 consumed, stockpile = 400, price = 10
Year 0004 production 1000, 800 consumed, stockpile = 600, price = 10
Year 0005 production 1000, 800 consumed, stockpile = 800, price = 10
Year 0006 production 1000, 800 consumed, stockpile = 1000, price = 10
Year 0007 production 1000, 800 consumed, stockpile = 1200, price = 10
Year 0008 production 1000, 800 consumed, stockpile = 1000, price = 6
Year 0009 production 1000, 800 consumed, stockpile = 800, price = 6
Year 0010 production 1000, 800 consumed, stockpile = 600, price = 6
Year 0011 production 1000, 800 consumed, stockpile = 400, price = 6
Year 0012 production 1000, 800 consumed, stockpile = 200, price = 6
Year 0013 production 1000, 800 consumed, stockpile = 0, price = 6
Year 0014 production 800, 800 consumed, stockpile = 0, price = 8
Year 0015 Jesus' first date

 

A shortage doesn't mean that supply dropped, certainly not in case silver, since weather / nature / has little impact on production.
A shortage is usually due to people unwilling to sell at the price (ex because they paid more)
And other people wanting to buy at the price.
The higher driven price then brings both together.
The highness of the price depending on the size of the stockpile that is thrown for sale, the fiat that the buyers wanted to swap, and how far they are willing to go above the initially cheap appearing price.

 

that was a busy video. like the points but did it need all the gifs and explosion animations ect?

 

Yes, these kinds are always more popular

 

Huh?

 

We have heard this before. When it happens I'll believe it.

Slam

 

I'd like to believe it ... I really would.

 

These types of predictions seem to be little more than wishful thinking backed up by strained justifications that ignore information that runs counter to the authors preferred outcome. One day these guys might be right, but that will be by coincidence.

 

Bingo! That's the point I was going to make.

Anyone who doesn't realize that needs to get back to the study room and start learning the basics about how markets like the metals work. There so much important information intentionally left out of the claims in the original post that I categorize such rants as permabull disinformation.

Sentiment moves the market. People today have so much info available to them in an instant that the ploys of the pre-internet days just will not work with many people anymore because they can so readily fact-check claims.

Silver will eventually move up, I'm convinced, but at a slow pace. There is no significantly greater industrial demand for it (if I remember correctly the supply/demand numbers that I saw a while back) and there's no shortage of silver above and in the ground.

As House said, if prices were to rise sharply, there would likely be a flood of millions of ounces on the market...that's just the way it works. Now of course, millions of ounces hitting the market won't guarantee a surplus, because we can't predict what the demand will be but very likely prices will come down relatively quickly due to the streaming in of millions of oz into the market. I know I'd sell if a good opportunity comes up....probably I'd finally get some gold when the timing is right.






.

 

Take a margin value.
Imagine people stockpile 200 Moz silver every year, a century in a row, don't sell a single ounce in that century. When their kids then decide to sell the stock the next century, what would that do to the price trend?

 

I was thinking now might be a good time to get some Silver but with all these opinions saying otherwise I'm not sure whether I should get some more or just wait. I would hate for the price to steadily start going up now. Appreciate any any advice on what I should do?

 

Sorry to be so blunt with you mate... But asking strangers what to do means there's a lot of thinking and research to be done on your part.



But, seeing as you ask I will give you my opinion. Now is cheap, with the money you spend on silver buy low premium metal so you get the most ounces for your money.

Good luck!

 

I'm not just asking strangers for advice, I'm asking (informed) Silver Stacker strangers for advice! There is a difference I think.

Ok, thanks for your advice/opinion on my question!

 

Skyrocket - If I were new to it, and assuming I knew what I know now, with all the disappointments and ensuing cynicism and doubt, I would still be starting a position in silver and/or gold and/or platinum group metals now. Just don't put all you intend in - maybe a third, and then wait for good signs of confirmation that the bottom is in. Then another third. Then your last bit. Something like that. Don't get paralysed by all the divergent opinion - take a chance, take a small step forward (or backward, as history will ultimately decide)

 

wish I was this guy, lol

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