by Steve St. Angelo, SRSRocco Report:
he Silver Market will experience a significant trend change in the future due the unraveling of the paper markets. Already we are witnessing a lot of political turmoil and havoc as President-elect Donald Trump gets ready to take over the White House in the next few days.
It’s also logical to assume the policy changes President-elect Trump wants to make will cause serious ramifications to the highly leveraged debt-based fiat monetary system… whether he realizes it or not.
Craig over at TFMetalsReport.com recently interviewed Paul Myclhresst about the huge problem the Chinese government is dealing with as they liquidate Dollars to prop up their banking and economic system. I highly recommend listening to that interview if you haven’t.
Thus, the continued liquidation of U.S. Dollar Reserves by China and other countries is probably the reason for the ongoing decline in International Reserves covered in Hugo Salinas Price’s newest article, The Further Decline In International Reserves:
Over the past 29 months, the decline in Reserves took place at a rate of about $42 billion dollars a month. At this rate, by the end of 2017 International Reserves will likely decline by another $504 billion dollars, to $10.31 Trillion, which will increase the decline from the peak in 2014 to 14.31%.
As we can see from Hugo’s chart above, countries continue to liquidate their official reserves (mostly U.S. Dollar reserves) to prop up their financial and economic systems. This is a very BAD SIGN… likely to get much worse in the future.
The Silver Market Will Experience A Huge Trend Change In The Future
The Global Silver Market will experience a huge trend change in the future, thus impacting the price in a BIG WAY. The are two critical reasons why this will occur:
Cracks In the Highly Leveraged Debt Based Fiat Monetary System will force investors into purchasing silver to protect wealth
The 17 consecutive years of annual silver deficits totaling 1.8 billion oz, suggests the easy to acquire silver is now in tight hands. Which means, when investors finally start to rush into silver, there will be very little available to be purchased, only at much higher prices
Let’s take a look at the Global Silver Market annual net balances from 1975 to 2016:
Let me explain this chart as it contains some interesting trend changes. First, the majority of annual net surpluses occurred from 1975-1987. This was after the U.S. and British Govt’s colluded to start the Gold & Silver Futures trading markets, which funneled investors funds into paper precious metals rather than physical.
Source: SGT Report