Why Silver Eagles are FLYING OFF THE SHELF!
Many people have commented on the divergence of the price of silver and the extraordinary demand for Silver Eagles. Here's the usual comment:
"How can the CME and CFTC claim the silver price isn't rigged when the sales of Silver Eagles are stronger than ever yet the price of silver goes down?"
Great question and one that the CME and CFTC cannot, and will not answer.
Just look at these record numbers coming out of the US Mint. Over 18M ounces in the first 4 months!! That's 55M ounces annualized!!
https://www.usmint.gov/about_the_mint/index.cfm?action=PreciousMetals&type=bullion
Price suppression is one answer for the price/demand mismatch but there is another reason behind the amazing growth of Silver Eagle sales. I believe that this one simple fact may be the most compelling reason of all to explain the extraordinary demand...
Silver Eagles are, BY DEFINITION, the money of the United States of America!!!
It's true. Turn over a Silver Eagle and you will see clearly embossed on the back.
"UNITED STATES OF AMERICA - 1OZ. FINE SILVER - ONE DOLLAR"
Why is it significant? Because a Federal Reserve Note is NOT an obligation of the United States but rather an obligation of the Federal Reserve Bank. Interesting concept that monetary nerds love to noodle over but taken in the context of the coming banking crash/banking default...that single statement on the back of a US Silver Eagle will make it MASSIVELY more valuable than just the content of silver in the coin.
A banking crash would do something very significant...destroy the Federal Reserve Note. All of them. FOREVER!!! It almost happened in 2008 but the banks were bailed out. There is no stomach for a bailout these days. This time the banks will be allowed to fail. Then what? What will happen to your checking account or savings account or 401k when the banks fail?
Gone.
They will all go away with the banks/brokerage houses that controlled them. They will be rehypothicated collateral in the bankruptcy proceedings. They will not, cannot, survive the leverage wind down of just one large failing bank. As assets are sold off to cover bank losses the value of those assets will fall making ALL other bank held assets less valuable forcing even more assets sales to maintain minimum Tier 1 capital ratios. A trickle will turn into a gush will turn into a tsunami of asset sales until all "value" is gone from every bank. And it still won't be enough.
What will be left then is physical COINS held outside the banking system. Coins minted by the US Mint as legal tender. Pennies, nickles, dimes, quarters etc. will be left and the MOTHER of all REAL US Dollars will stand alone in value on top of the pile...The 1 OZ SILVER EAGLE!
There are "Good Guys" who know this and are buying up every single US Silver Eagle that is minted to both protect their own personal wealth as well as help destroy the banking cabal.
So do yourself a favor...load up on the ONLY true US Dollar that will survive the Global Monetary Crash...the US Silver Eagle!
You can help bring down the Bad Guys in the process.
May the Road you choose be the Right Road.
Bix Weir
