Nothing to see here... Or is there?
Traders and speculators react to news flash and rumours. I don't. Not that I don't care, but life is more than chasing after every stories. I read in @Shernice軒嬣 2000 post on a rumour on a major bank imminent collapse due to its shorts position in silver market. Apparently, the rumoured bank is JP Morgan. Rumours as they are, stay where they are.
There are obviously many banks 🏦 that have shorted silver in the past. JP Morgan happened to feature prominently but that doesn't mean they are doing it now. Silver, not sure why, has always been a hated cousin of gold. Silver price has always been depressed artificially by major financial institutions.
Even when silver has in recent years been in deficit due to the increased demand from industrial applications, silver prices have not followed accordingly. 2025 started as any other year as far as silver is concerned. We all know how the story goes. As we moved into 2026 (1-2 more trading day left depending on which market you are in), the outlook for silver remains essentially the same.
Let me explain briefly. There are a number of forces pulling and pushing silver trade. Although they don't start with Donald Trump, he powered up unwittingly. Yes, there are speculators out there judging by the number of future trades. Otherwise CME couldn't do anything. The same force that halted silver price gains in the past is back to their old tricks in the name of regulation. CME's Friday move ignited panic 😱 in the market as many probably heard of "Silver Thursday". I won't say that this time is different. However, the circumstances and environment are indeed very different from those speculative days when the same measures were implemented. CME is not against any mere speculators. It is inevitably helping China to make purchases at a lower price. As far as industrial applications are concerned, solar panels are still the chief source of demand. Guess which country makes the most solar panels? Some analysts cited copper as a viable alternative to silver, however to what extent? Even with silver, we are getting the best performance out of solar panels, how much more inefficiency must we sacrifice to use a much more deficient copper? Gradually, AI data centres, robots and EVs will become more common places. Maybe we should stop all these progress? I mean, what's 2025 trades were about? [Facepalm] [Tongue] Yup, AI, (clean) energy to support data centres, quantum computing, rocket 🚀 science and potentially robotics (think Elon Musk and Tesla).
Nope, this force can only be stopped if we run out of critical metals such as silver. No, I am sorry. It is not human 🧠 power but critical metals such as silver and copper! So, 2026 will be the same as far as silver goes. If silver price collapses, you better leave the AI and other technology plays! Why? It simply means that the world economy is going down!
China won't just give US a free run, at least not with Trump on the helm. He who started the trade war and global isolation will eventually sacrifice his country's interest unknowingly. So, while CME is happily manipulating the silver trade (paper trading), the physical silver is leaking into the embrace of China 🇨🇳 . By the time the world realised, the nasty truth is going to jolt the world out of its slumber. By then it would be too late, so my position in long silver stays the same.
Simple minded? Maybe. It's just me and my 2 cents anyway. [Silence] [Chuckle] [Evil]
@Tiger_comments @TigerClub @Daily_Discussion @TigerStars @CaptainTiger
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
