The world is unsure of itself. With a grim situation in Europe and a struggling economy in the United States, people are growing dubious of their money’s value. Major emerging economies such as China, India and Russia have instead been buying up gold and silver. As a result gold prices have nearly doubled since 2009– but let’s not overlook the help silver has had in it’s rise.
The Canadian Eric Sprott is making moves to buy $1.5 billion of silver. Moves such as this are expected to influence “the tiny world of silver.” Sprott’s gargantuan orders have occasionally resulted in silver price movements of nearly 180 percent. Put best “when Sprott needs silver look out.”
Such a malleable market raises the question of market manipulation. In an interview on his blog, Sprott explains that he is convinced of a great deal of manipulation within the silver market, and insinuates that “I would put myself in that camp.” Continuing, he states in May of this year there was nearly 800 million ounces [of paper investment] a day being traded in silver when “Only about 1 million ounces a day are available for physical investment.” Doesn’t something smell a bit strange here?