Submitted by SD Contributor Marshall Swing:

Silver COT Report 10/5/12

Commercials added 1,337 longs on the week and a sizeable 7,518 shorts to end the week with 46.51% of all open interest, an increase of -1.25% in their share since last week, and now stand as a group at 289,200,000 ounces net short, which is an increase of another 30,905,000 net short ounces from the previous week


Large speculators piled on 2,458 longs and covered 1,650 short contracts increasing their net long position to 190,590,000 ounces, an increase in their net long position of over 20,000,000 ounces from the prior week.


Small speculators picked up 940 longs and covered 1,133 shorts for a net long position of 98,610,000 ounces an  increase of just over 10,000,000 ounces net long from the prior week.


While the commercials appear to have piled on the short positions this past reporting period, we see in the disaggregated commercials numbers that the accumulation of those short contracts was pretty evenly split between the producer merchant and the swap dealers.


As always, for your convenience, if you would like to contact the CFTC and express your views to them, I have provided you their phone numbers and I hope earnestly that you fill up their phone lines: and email addresses as well:


[email protected]  Chairman Gensler


[email protected]  Commissioner Chilton


[email protected]  Commissioner Sommers


[email protected]  Commissioner O’Malia


[email protected]  Commissioner Wetjen


[email protected]  Director Meister


See you next week!



    • I don’t know the details, or understand the mechanics, but could someone comment on how the currently stressed banks managed to survive the 2010-2011 ag run-up from $15 to $50? 

    • The stimulus package. Remember when the banks could not explain where 1 trillion dollars had gone. How in the world do you lose a trillion dollars. The stimulus I believe was nothing more than a safety net for the banks to survive what they knew was coming-the rise in silver.

  1. @FRANZPICK: I was reading Harvey Organ then and I believe there where a lot of cash settlements at premium. As investors started demanding physical they were forced to do a nuclear smack down. There were also constant margin calls that shook out weak hands and of course swiping all they could late october/MFGlobal.

  2. Can someone please explain if possible, what personal bias or at least rational objective sound argument that JIM SINCLAIR has against silver.  In his latest Mineset on October 5th his comment concerning silver was thus “Gold will protect you in this transition. Silver will give you a cheap thrill followed by a spiritual experience devoid of a teacher”.  Seems an awful lot of negativity here with no basis or grounds.

    • The one possible misconception by many who are bullish on silver is its scarcity may make silver not practical as a monetary unit. Much like palladium is today. Palladium has value but not in a monetary way. Plus, never underestimate the elite’s ability to make ownership of silver illegal. If that would be the case, silver would then be a cheap thrill with no history of how we would handle a world that would be banned from owning silver. The logical reason would be to enhance industry, the government would eliminate individual ownership that would be in competition for its possession.   

    • @ Snowrider-
      Then again perhaps you’re assuming centralized government is going to survive all of this.  Perhaps a mercenary army bankrolled by of course the banks, may attempt to enforce such a thing through force, but a government who will not at any and all levels be able to pay for wages or pensions of the police or military forces, no, sorry, not happening.  I’m not in the lets legislate that and make it happen this time camp, thus good luck with making virtually much to anything illegal.  Whatever can be exchanged or bartered with especially if its value can be maintained without going stale, moldy, or consumed away will most probably be deemed as sound currency, by the citizenry.  Sinclair’s bias or prejudice is not based upon any legitimate reasons he offers, just statements with nothing to back them up.  I am a Canadian who sees our government at all levels going down the same path, sooner than we think.  No fiat western money anyway will literally hold water and with rising unrest coming to a theater near you chaos cannot be legislated against.  You offered reasons, but Jim just flaps his gums.  Just because a man is right multiple times, doesn’t mean he’s right all the time.

  3. Since most  Ameican people believe a News Channel and like channels  and it’s personalities  not understanding that NO one on these TV stations will tell them that ,they are being Robbed with Goverment looking the Other way..Gas prices in San Diego Ca. $5.25

  4. Since the Commercial short positions are now way in excess of those they held before the onset of the severe downtrend of last Spring and also immediately before the vertical plunge of September last year, do you think thismassive Commercial short position portends an imminent plunge in the silver price?

  5. Expressing your point of view about the commercial’s shorts with CFTC is useless because they might not send you a reply with email and an automatic voice will pick up if you phone them. Although, the cartel added a lot of shorts which means that silver is really close at getting higher.

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