COMEX Silver – 2011 Again?

Yesterday we reported the 73% overnight drop in registered gold on COMEX and promised something on silver today.  We came across the chart below recently which shows it is not only registered gold that is being sucked out of COMEX, but silver too.  The chart below however zooms back a bit and you can see clearly the situation (price – grey line) that occurred when the silver price last peaked in mid 2011 at $49.  One can’t help but wonder if, with silver registered stocks heading back to the levels that coincided with that peak, whether we may be seeing similar price action to what occurred then.  History has a way of repeating…

Also whilst the massive gold accumulation of China hogs the headlines, the world’s largest physical silver exchange in Shangai has also seen a spike up in silver inventories with 615 tonne held in January this year compared to just 176 tonne last January.  The theme of gold moving from west to east appears as relevant for silver at the moment…