The Doc sat down with Harvey Organ Wednesday for the first of several interviews regarding the recent massive cartel intervention in the gold and silver markets post the QE4 announcement, the fiscal cliff, the CFTC’s silver probe, and the unprecedented 20 million oz of silver still standing for December delivery.
Harvey stated that the end game is being played out, and that an Asian group has decided to take on the cartel and drain the physical silver from the COMEX. He states that the bullion banking cartel’s suppression of the gold and silver markets is the ultimate treason against Americans, as 350 years of US wealth is being drained East due to the price suppression of gold and silver.
The Doc asked Harvey his thoughts on the extraordinary developments in the December delivery month for silver, which has seen the amount of longs standing for delivery actually increase as the month progressed:
That has never happened before! I’ve been watching this- on an active month, usually what happens is the deliveries are the highest in the first 3-4 days in the month, then they go down a bit as there’s usually a few cash settlements.
What happened in December, on December 6th you saw the low point of 12.6 million ounces. All of a sudden it turned around and you saw 13, 14, and now 19.5 million ounces of silver standing for delivery. What really bothers me (and I have been unsuccessfully trying to get an answer from the CFTC) is that every single deposit, withdrawal, and adjustment in the CNT vault is done at three decimals at .000.
The COMEX is a physical market! It’s strictly physical! You should see oddball numbers! I could understand one or two bars adding up to .000, but when I start seeing everything, I start getting suspicious! I have a strange feeling that they’re settling in paper. The owners don’t know it, they think they’re getting the real thing.
What’s actually happened is that there has been a large increase in the number of investors wishing to get their silver out of a registered COMEX vault. They’re asking for silver, but they’re asking that it’s not stored in a COMEX vault, specifically HSBC or JP Morgan. That’s what I’m seeing in silver.
The other thing you should be very mindful of, the open interest on gold has declined, it’s kind of low, and it kind of tells you that many players no longer want to play the rigged game. But it’s not so in silver! OI has remained relatively high at 140,000 or higher constantly the past 2-3 months regardless of price! Certain people have decided to take these guys on, they know exactly what they can take out of the COMEX, and that is exactly what’s going on at the silver front.
The Doc asked Harvey about the US Mint’s 3 week suspension of Silver Eagle sales and whether it indicates a shortage of silver at the mint:
That is a real indication of shortage. If you’ve had a look at the Canadian Maples sales totals. They started in 1985 with 200,000 ounces, and this year they sold 20 million ounces in Canada? My goodness! This means a lot of the Canadian silver is being exported out. The Mint’s making money. So the demand is there, obviously the US Mint just doesn’t have the silver to make them. You can just see it in the demand! The US produces about 40 million ounces of silver. This means that in order for the US to meet demand in all forms they need to acquire silver from Mexico, etc, and then you have the jewelry demand, the medical and pharmaceutical demand, the solar demand. Only 100 million ounces of the total silver supply goes for investment. 900 million ounces goes towards industrial/ medical demand. There are new uses for silver every day!
What these banks have done is they are eliminating the supply of silver. I really think that the ultimate treason is that our gold and silver are leaving our shores and heading East. Eventually we won’t have it- just like rare earths- we won’t have any! That’s simply treason!
Check back tomorrow for part 2 of The Doc’s interview with Harvey Organ, in which Harvey discusses the reason the CFTC has not and cannot release the findings of their 4-year silver probe, Harvey’s view that the manipulation is in the end game and will collapse in 2013, and how the daily CME reports inadvertently reveal a massive shortage of physical silver among the bullion banks.