Cornering the Market

Filed in deflation, dividend, Gold, shares, silver, silver production, Spot Gold by on August 2, 2010 0 Comments

It has been over a quarter of a century since the Hunt brothers set out to corner the market in silver and actually succeeded in running the price up to near $50/ounce, a staggering sum back then, when three ounces of silver sold at that price would have fed a family of four lavishly for a month. It was just good, clean, Texas fun, and word has it that the boys actually hoped to profit not so much by squeezing jewelers and film manufacturers but primarily from a new, very rich, silver mine they were keeping under wraps. One that has never been opened. This makes sense; big money and old money tend to think generationally and those families which don’t, end up back in whatever cow byre or hick town they came from. Miss a chance this generation, that’s fine, because the opportunity will return in time and descendants will have been taught how to profit from it. Long-running examples of success include the Rothschilds, Barons von Reuters, Rockefellers, and Krupps. A splendid example of doing it wrong is the Kennedy family, where too many relatives have been living off what Papa Joe made running rum and getting his boys into politics, with occasional useful marriages. The hubris and complacency are still there, as witness Caroline Kennedy thinking she could become the Senator from New York simply by telling the Governor she wanted the custom-made chair. Never mind that she doesn’t even vote! She’s a Kennedy, after all, and lived in the White House half a century ago, surely qualification enough. Not in this century, dear. In the fullness of time the Hunts will no doubt go into production if the tale is true, and my surmise is that they are watching the manipulations of J. P. Morgan Chase with avid, probably amused, eyes. If it is apocryphal, it still isn’t safe to be short 20% of the world’s annual silver production in times of …

Go here to see the original:
Cornering the Market

Tags: , , , , , , , , ,

About the Author ()

Leave a Reply

Your email address will not be published. Required fields are marked *