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Price of silver surges as Reddit traders find new target
- partingshots 6y agohttps://www.reddit.com/r/wallstreetbets/comments/l9runf/the_silver_squeeze_is_a_hedgefund_coordinated/ https://www.reddit.com/r/wallstreetbets/comments/l9runf/the_...
- pjc50 6y agoAmazing. All slurs and no substantiation. They might be right, but there's no way of knowing from that post.
- evv 6y agoHow are you going to do a short squeeze on silver, which is not being shorted? The real crime? Quite possibly, more than 100% of $GME may be currently owned by investors right now- thanks to shorting more than the available shares. If true, that would be clear evidence of fraud at the highest levels of our market. Silver is quite the distraction from the real show today.
- pjc50 6y ago> How are you going to do a short squeeze on silver, which is not being shorted? How do you know that? Or how would you know the opposite? Is this actually publicly reported? (I note the original story is from the NY Post, the "Biden Laptop" newspaper, which also raises questions)
- mojowaffles 6y agoShort float and speculative positioning (long and short) is regularly published for commodities. This is common knowledge. You should find these things out instead of asking rhetorical questions as a way to make a point. If you were genuinely asking, I apologize.
- thefj 6y agoThere's much more silver owned by investors than there is physical silver in the world. It's the same idea: you have a synthetic version of an asset trading for the same price of the real asset. If people start demanding the real asset, there isn't enough of it to go around and prices start to rise. Not saying that's what's going to happen, but it's not absurd.
- aww_dang 6y agoTypically there's a clause where the investor can be paid the cash equivalent instead of actually providing the physical metal.
- thefj 6y agoFutures have to be settled physically, if carried to expiration, as far as I know
- seafoam 6y agoRetail brokers do not allow the position to be carried all the way to the first delivery date. For example : https://ibkr.info/node/992 https://ibkr.info/node/992
- kthejoker2 6y agoRight ... so if you can't undertake delivery, they sell it out on the spot market. If everyone in the market can't undertake delivery, the buyers on the other side who can will have their pick of orders, and prices will plummet. You'll be selling heaters in Hell.
- aww_dang 6y agohttps://www.moneymetals.com/news/2020/03/27/gold-traders-are-paid-not-to-redeem-comex-efps-001995 https://www.moneymetals.com/news/2020/03/27/gold-traders-are... There's a bit of controversy around this.
- 6y ago
- pwinnski 6y agoIf you scan WSB, you'll find a seemingly never-ending string of posts saying, essentially, "don't be distracted by silver, stick with $gme," and yet article after article after article suggests that WSB is focusing on silver now. I don't know what the source of "WSB is focusing on silver now" is, but it is clearly not actual WSB posts.
- EForEndeavour 6y agoI guess vehemently clarifying that silver is a distraction technically counts as "focusing on silver."
- BitwiseFool 6y agoHe's the problem I'm grappling with when it comes to r/WallstreetBets and all this information about market manipulation: When you believe that there are big cabals manipulating the market everything starts to look like some coordinated attack. Buy silver because they don't want you to! Or, don't buy silver because that's a distraction from the real manipulation! Who do you believe? I'm no stranger to conspiracy theories and my fear is that the WSB community is getting swept up in conspiratorial thinking. Sadly, with billions and billions of dollars at stake there probably is market manipulation happening, so the paranoid will feel vindicated when some manipulation is eventually discovered and acted upon - see the recent $GME situation. But there's going to be a massive false-positive rate on manipulation claims. I don't see things ending well for the average person getting swept up in this frenzy.
- wayoutthere 6y agoIt’s because basically every piece of financial news about $GME over the last week has been absolutely bogus in retrospect. Finance is dirty as hell — you just don’t understand HOW dirty until you start playing for keeps.
- pjc50 6y agoYup. All the people who were long conspiracy theories up to Jan 6th have exited that market and are now spilling over looking for something to get involved in. This includes the over-excitable news coverage. I note in passing that silver/gold marketing has a long history of association with the alt-right. There's always someone telling you to buy silver for the apocalypse.
- benjohnson 6y ago>>alt-right Being conservative about money is hallmark of long-term thinkers that understand that history repeats. It is also shared by (typically immigrant) families that have had experience of failing central banks.
- __MatrixMan__ 6y agoY'all are gonna think I'm crazy, but... > When you believe that there are big cabals manipulating the market everything starts to look like some coordinated attack. ...what if everything is a coordinated attack? Once upon a time, Caesar used violence to inflate the price of "caesar-face gold" above that of actual gold, and we've been playing that game ever since. I think that the problems are baked in at a really deep level and we're just talking about it now because the wrong type of people are trying to play the same old game. It's like the crazy guy on the streetcorner was the first one to start saying "We've always been at war with Eastasia" and now The Ministry of Truth doesn't know what to do.
- bena 6y agoThe one place I don't see silver being talked about as "Reddit's next target" is reddit.
- m3kw9 6y agoI believe wsb has leverage on silver because people saw what happened to GME. But the problem is they are using the same playbook on a asset which seem to have different rules and exponentially higher scale. The 10% movement seem to be a but of panic
- r00fus 6y agoWas nypost ever accurate with a scoop? Most of their "we know something everyone else doesn't know" is BS.
- nickpp 6y agoThis is a pathetic attempt at market manipulation. Pure BS. There are no silver shorts. There is no silver squeeze. Hedge funds are trying a misdirection to relieve the pressure on GME and their other shorted stocks. But WallStreetBets are not falling for it. HOLD!
- Bedon292 6y agoThis narrative seems to be wrong from what I am seeing. Yes silver is going up, but that seems to be more in response to the market uncertainty, and already having a supply issue. If you go on Apmex, JM Bullion, etc. No one really has silver in stock. For example pre order of Silver Maples is at $8 above spot. Historically that tends to be more like $2-3 area. Their websites were all crashing from demand over the weekend too. Its not WSB doing that. Edit: Other reason Silver has been trending up is Covid and potential stimulus. Metals are typically a hedge against inflation, and a massive stimulus is likely to cause inflation. The supply tightness has been around for months at this point, but extra bad this week.
- EForEndeavour 6y agoI think you're right in that this narrative that silver has become "the latest target for a brigade of day-traders on Reddit" is disinformation. While there were a few posts in the past days promoting silver as the next memestock (the article links to https://old.reddit.com/r/wallstreetbets/comments/l71rdv/silver_biggest_short_squeeze_in_the_world_slv_25/ https://old.reddit.com/r/wallstreetbets/comments/l71rdv/silv...), a quick glance at https://old.reddit.com/r/wallstreetbets https://old.reddit.com/r/wallstreetbets confirms that the prevailing sentiment of that subreddit is that silver is a coordinated distraction. Speaking of information, Wikipedia rates the New York Post as "generally unreliable for factual reporting especially with regard to politics, particularly New York City politics. A tabloid newspaper, editors criticise its lack of concern for fact-checking or corrections, including a number of examples of outright fabrication." https://en.wikipedia.org/wiki/Wikipedia:Reliable_sources/Perennial_sources#The_Nation https://en.wikipedia.org/wiki/Wikipedia:Reliable_sources/Per...
- Bedon292 6y agoAnd sure, New York Post isn't where I would typically get financial news from. However, most of the financial news sources had silver high on their page this morning. Its still the headline story on Bloomberg.
- elmerfud 6y agoWho actually shorts silver? Seems like something, non-reddit related is buying silver. Probably all those places that keep advertising on conservative media shows. They always keep saying that silver will overtake gold, lol. It could be silver is being bought simply because the stimulus announcements. Probably not the only reason but raining helicopter money instead of allowing people to work will always drive up inflation.
- craig1f 6y agoNot true. Reddit is not targeting silver. This is a widespread lie designed to drive up silver prices.
- Finnucane 6y agoThe ghost of Nelson Bunker Hunt visits Ken Griffin at night in his bedroom.
- h2odragon 6y agoNo one has any physical silver to sell, the spot price has stayed within 10%, there's more stories about "silver's the next big thing" than there were about a Trump tweet, ... like Lucy holding the football for Charlie Brown; "come back! we won't do the trick this time!"
- jb775 6y agoThis is fake. It's misinformation to artificially drive up the price of silver, so the hedge funds have more ammo to fight against the $GME short squeeze (hedge funds are long silver). Also helps confirm the media is fake, maybe hedge funds controlled the narrative the whole time? Sell silver, buy $GME (my opinion, not financial advice)