It’s been long reported that the money changers operating within the
halls of our most hallowed and influential financial institutions have
been manipulating everything from stocks and bonds to housing prices and
commodities.
While government regulators have completely ignored the machinations
taking place, countless investigative reports and evidence submitted to
the proper officials show that the games being played with billions,
sometimes trillions, of dollars are no longer just conspiracy theories
because the conspiracy to corner and control certain markets is, in fact,
very real.
The latest example has been highlighted by Keith Neumeyer, the CEO of one
of the world’s largest primary producers of silver, First Majestic
Silver Corp. (NYSE:AG),
in a letter
sent to the Commodity Futures Trading Commission. In it Neumeyer argues
that the evidence for manipulation is clear and that literally tens of
billions of dollars in paper-represented silver are being used to
manipulate the value of the precious metal:
It occurs to me that such massive speculation in COMEX silver
futures may not be in keeping with the spirit and intent of commodity law and
may suggest something is wrong with the price discovery process, since real
producers and consumers of silver don’t appear to be represented.
The astute observer may realize that Neumeyer’s warnings can be applied
across the board to most asset classes including the broader stock
market, the housing market, and student loans where the incestuous
relationship between mega-bank financiers and regulators has left a complete
disconnect in the price discovery process and realistic valuations. To those
willing to pay attention, the manipulations, as highlighted by
Neumeyer, is very much a coordinated event impacting millions of people
and controlled by a concentration of of players.
We feel that an effective and fair pricing mechanism is critical
for the healthiness of our industry and for the millions of people impacted
by what appears from the outside, to be manipulative practices by a
concentration of players.
Can we expect that the government will now move quickly to ensure transparency
in markets and criminal charges against those who have been manipulating
markets? Zero Hedge Reports:
Don’t hold your breath for a response, however. Recall that less than two
years ago, under the aegis of Bart Chilton who is currently a handsomely paid
lobbyist at DLA Piper on behalf of the HFT lobby after spending years bashing
them while at the CFTC, the commodity regulator closed its “investigation”
concerning manipulation in the silver market, without finding anything.
…
in a non-banana republic, a regulator so humiliated would be forced to at
least reopen its “investigation” and admit that it was wrong and has missed
glaring examples of market rigging, but in the US that won’t happen.
Which is also why while we salute First Majestic with this first public
appeal by a corporation to the CFTC to stop the rigging in the silver market,
we have absolute certainty that this too complaint will promptly end
up in Mr. Massad trash never to be heard from again.
We know government regulators will likely ignore the concerns of First
Majestic Silver Corp., but as Ayn Rand once noted, the manipulations
will eventually hit their limit:
“We can ignore reality, but we cannot ignore the consequences
of ignoring reality”
When nature does eventually take its course the price suppression
scheme being orchestrated by a few concentrated players will lead to
real-world price discovery, at which point precious metals like silver could
see a major upwards correction, potentially taking it to never before seen
highs.
