COMEX Default - Banks exiting the scene of the crime

[tinafiedler1]

Davincij15:

Hi, thanks for your help last time. dojufitz's comment about dealer's not paying properly when the gold/silver went up in 1980 has me worried. If I've held my silver, it goes up, and I go to the local dealer, isn't he obligated to pay me the good price? If not, are the banks obligated to pay me the good price? If not, what do I/anybody do?

Also, what is a PM?

Thanks for your time.

[davincij15]

Let's just say we are lucky enough to have a 1980's style rocket up and down. If the Exchanges are working like the COMEX the dealers will have no problem buying back your gold and silver. Why because they sell it on the exchanges the minute you agree to sell it to them. One of my videos explains this but I don't remember which one. So I will do another one.

However if the exchanges are shutdown, pricing will be local. You will have to find the person willing to give you the best trade.

[tinafiedler1]

davincij15 RE: Your response on the exchanges

So do you see any danger of the exchanges closing down any time soon? Or any kind of situation (such as now and/or with the Comex)

where that might happen?

If they DO shut down, what kind of "justice" will I get at the local dealers?

Forgive my ignorant questions, but we're all living in unprecedented times, and I'm learning as fast as I can.

Tina

[tradergee1]

Just remember that when you do sell your Silver you will be receiving dollars so you have to have a plan for where those Dollars are going to go. Your bank? Your mattress? I recommend trading your silver for something else that is tangible such as any Real Estate you own since that price in Dollars is locked in and can't rise with inflation.

[tinafiedler1]

tradergee1:

Thank you for your advice!

Tina

[tradergee1]

You're quite welcome. Keep thinking.

[thirstybullet]

these short manipulators on the Comex are going to get their accounts incinerated when hyperinflation hits.

[davincij15]

Just remember you can only sue for dollars and if no one is selling gold to the exchanges then there is no official price except the last traded price.

Sure other exchanges will kick in however you have to sue based on US rules.

[thirstybullet]

I like your freestyle best. You can do it !!

[Atom299]

Hi davincij15

When you talk at the start of this video about why these countries haven't already dumped the dollar. I think a lot of the reason can be found in this YouTube video "Confessions of an Economic Hit Man"

watch?v=yTbdnNgqfs8

It seems that most country leaders would understand they would run a high risk of assassination if they did that. I expect they'll all be waiting for the big guys to do it first.

This video's an eye opener.

[davincij15]

I have seen his stuff and it helped me connect a lot of dots.

[TAXMAN1978]

Great videos. btw - it's "scene of the crime". Might want to fix that if you can.

[davincij15]

Thanks need to have my wife review it but she is too annoying when it comes to accuracy of the written word.

[OpenMind00]

If the Comex gets raided and goes BKPT because they cant deliver the silver that is being short

What will happen to an EFT like SLV that has the Silver they are Promoting?

What will happen to the Paper Silver price

[davincij15]

In that event the COMEX may stop trading and as a result so will all paper trades of silver and gold.

If the COMEX where to continue the value of gold and silver would go to zero. Why? Who would want to buy a promise to pay silver when it can not be delivered?

[alpertdon]

what is a short contract?

[davincij15]

A contract between you and the commodities exchange to deliver a good to them or to by back the contract.

[jamesa66]

Another great video, thanks.

[JRCrowley]

You work best when you freestyle, dude. Good vid. Thanks.

[Honkyrappa]

Really good point!

[SAHARA1155]

Davinci

I keep reading they are are going to try and bust the COMEX in Decdember...Do you thing its possible????

[davincij15]

Consider that we have used gold and silver as money for many years and in that time lending was available.

YES the COMEX and LME will default but they will borrow the gold and silver to cover their obligations. There will be and hearings where no one is guilty.

[dabruin2]

Everyone should listen to Max Kaiser's interview with Alex Jones. Kaiser talks about how come December that the Comex will be in major trouble because many will call for delivery and the Comex will be caught with their pants down. Kaiser then predicts that January 21st or 22nd that the dollar may be straight devalued in one shot. He's declaring fraud in the Comex markets and that we should hold gold and silver. Once the Comex is exposed, PMs will explode.

[davincij15]

I see the COMEX being exposed however keep in mind the exchange can borrow the gold and silver from known holders of the physical. That's always an option that is not done anymore.

Consider that we have used gold and silver as money for many years and in that time lending was available.

So, YES the COMEX and LME will default but they will get the gold and silver to cover their obligations. There will be and hearings where no one is guilty.

[dabruin2]

YOu make a great point--I think you made that point in a past video. The Comex scenario might play out like the Wall St. scenario where there literally was a "crash" but because they propped it up so much that it just came and went and no one noticed. If they do the same thing with the Comex, people like you and me would see what was going on, but general public couldn't care less.

[davincij15]

EXACTLY! You hit the nail on the head they will simply hold it up with the good faith and credit of the United States. There may be a small blip in the price but it will not be noticeable to the public. Only gold bugs will notice.

Our only hope of busting the COMEX is with silver. Silver gets used up gold does not. ;)

[dabruin2]

I emailed Max Keiser and passed along the info we discussed. I wonder if he'll have a different take on it. I guess if the call for delivery is massive, maybe the Comex will be exposed. I'll keep you posted.

[davincij15]

Thanks I would like to get Max Keiser's take on it. I am sure he has not thought of that.

[psbyowner]

metals did good overseas, silver up .50 today lets see if it holds

[davincij15]

Dollar weakness hedge funds shorting the dollar longing commodities. It's not a long term trend yet until you see a steady climb and a big pop to the upside.

It will die silver is going to $7.50 - $8 or lower in a multi-day debacle then after that we should see some lights, Camera, ACTION! ;)

[dojufitz]

I am not sure if anyone can graciously dump all their US dollars..lol..i know what you mean.....

There is a big meeting this 17th of World Leaders - get some more metal if you can before that date...

Also if pms go nuts overnight - due to some reason - you will then have the current disconnect situation in reverse where you cannot sell at the spot - (which will be huge).....something to bear in mind....

[davincij15]

No not true. Dealers will buy it because they are connected to the COMEX and can sell it there without getting stuck with it if the price goes down.

So what a Dealer does is SELL a promise to pay gold at future date on to the COMEX and get the money to buy the gold from you.

That's the point of the COMEX so Dealer and producers do not get squeezed when there is sharp price moves. They only make a small spread when buying or selling.

[dojufitz]

I was talking more about selling physical - the last time when Gold\Silver spiked in 1980 - alot of buyers - local bullion dealers would not pay you the high spot.

It would be better to see a steady rise rather than a huge spike.

[AngriestAmerican]

Again, I re-iterate the fact that there are 32 million oz in buy contracts, and only 8 million in the comex warehouse(if that). People are going to demand delivery. They can get gold at 800/oz and sell it on ebay for 1100/oz.

This is the talk on the floor. Also I want to point out, in 1980 the hunt brothers, were thought to demand delivery, and the default would occur, making silver go from 18/oz to 50/oz over night!!

[davincij15]

Yes the expectation is now gold Default but expectations have a way of turning. It can be done all the banks have to do is borrow the gold. You are acting like loans do not exist.

Look it still means a default is coming but if people get paid in the end was it a default?

[joshrain1]

if people are covering their shorts, why are prices not going up?

[davincij15]

Because there are more sellers than buyers on the COMEX or LME.

[joshrain1]

but isn't it true that in the futures market. for every short there is a long?

[davincij15]

OK Yes that is true so if you sell something for $100 no one shows up that is called you are one seller to no buyers. So what do you do? You drop the price until someone does buy, the person that finally decides to buy at a LOWER price is a LONG.

If you have more questions just ask. You know some life long economist do not understand the above concept and refuse to believe that if you sell a lot of something the price will go down. lol

The COMEX has a lot of sellers of paper silver and gold.

[joshrain1]

the problem with crimex is not that people are selling short. its too high concentration of short sellers in one market and then they go long in another market. that sux. keep it up, nice vids.

[davincij15]

Really all it takes is a high concentration of sellers at a particular time in the day.

The Communist exchange has us gold and silver bugs by the balls. However No government or bank as hoards of silver to lend except the ETF, SLV.