Tuesday , 25 June 2024

Noonan: Here’s Why Silver Is So Low & What To Do About It (+3K Views)

The demand for silver has grown exponentially in the past few years (record sales for American Eagle coins, record buying in India), but supply, on the other hand, keeps diminishing…Whenever there is a situation where demand rises sharply, while supply commensurately declines, it is a recipe for higher prices, and usually, much higher prices.  This is true, unless one is talking about the silver market…[which] is at its lowest levels in the past three years. With talk of silver going anywhere from $150 to $500 higher, it currently struggles to hold $20. Why is this so?

So says Michael Noonan (tradersedgeplus.com) in paraphrased excerpts from his original article* entitled Silver – A Rigged Market Coming To An End.

[The following is presented by Lorimer Wilson, editor of www.munKNEE.com and the FREE Market Intelligence Report newsletter (sample here). The excerpts may have been edited ([ ]), abridged (…) and/or reformatted (some sub-titles and bold/italics emphases) for the sake of clarity and brevity to ensure a fast and easy read. This paragraph must be included in any article re-posting to avoid copyright infringement.]

Noonan goes on to say in further edited excerpts:

The answer is not to be found in the myriad supply and demand figures, no matter how cogently presented as absolute numbers, or dramatically presented graphs, and with so many comparisons to other times/situations.  Facts and figures do not lie...The reason why silver continues to languish is purely a political one.  Silver, along with gold, compete against fiat currencies. 

All [Western]currencies are issued by central banks. All central banks are owned by the elites, New World Order (NWO), the moneychangers,
call them whatever you will.  These elites have a vested interest in preserving the Ponzi monopoly they have enjoyed ever since Mayer Amschel Rothschild discovered the power of interest collected on debt, over 200 years ago.

Debt = Wealth.  That is the motto for the elites who charge their central banks with running up as much debt as possible for every man, woman, child. and country.  The more debt, the more interest owed to the 1/10th of 1% who own the world’s wealth. As an example, what was the answer to resolve Greece’s unmanageable debt problems? Have that country borrow even more!

The problem today is that the NWO is losing its grip as the growth of debt escalates to previously unimagined levels.  The biggest threat to fiat currencies is sound money, such as being backed by gold and silver.  This is why the United States:

  • eliminated the backing of United States Notes with silver and gold…[which] was instigated by the elites who have controlled the United States since it was forced into bankruptcy in 1933 and
  • repudiated gold backing in 1971 under President Nixon setting the stage to flood the world with Federal Reserve Notes, backed by oil, hence the petro-dollar as the world’s reserve currency.  The US has been exporting its debt-ridden society on the world ever since.

What the U.S. did not count on was China, even Russia, to a lesser extent, emerging as world powers, and world powers that now have the gold.

The Western central bankers have been leasing, hypothecating and re-hypothecating gold with impunity, with no country ever strong enough to challenge Western financial supremacy.   Then, in the 1990s, China wanted its gold back from the United States. “Sorry, Chinks!” was the arrogant response from the US.  It was gone, “leased” out to keep a controlled lid on the world’s price of gold.  Central bankers were running a
scam, one of the largest Ponzi schemes, ever. Huge mistake.

It is now payback by the Chinese.

Now aligned with Russia, Brazil, India, and South Africa, the BRICS nations have formed a trading alliance outside of the US petro-dollar.  The world’s reserve currency has not only been challenged, it has fast become irrelevant, except in West and EU, and even in the EU, that is changing.

The golden genie was let out of the bottle over a decade ago, and all the central bankers cannot put it back.  Every attempt has been made to keep a lid on the price of silver and gold by central bankers desperate to hang onto their waning power.  This is why Germany was told it would have to wait seven years to get its gold back from the Federal Reserve Bank of New York.  It simply ain’t there, anymore.  Gone.  Guess where it is? China.  Retribution can be a bitch.  The East is over taking the West, and they are doing it by buying all the available physical silver and gold.  Even more.  China has been on a shopping spree, buying as many precious metals mining operations around the world as are available.  Here is your largest demand factor, followed by the remaining BRICS nations.

What about diminishing supply?  What about the almost empty vaults at COMEX and LBMA?  What about the demand of 68:1 claim for each ounce of gold?  What about…insert your own example of how supply is being exhausted.   All factual, all true.

The elephant in the room no one is addressing is the political one.  The elites have kept pressure on PMs to keep their last gasp efforts of control alive.  The current price of silver has nothing to do with supply and demand, nothing.  It is all about central banks being used by the elites to prevent silver and gold from exposing the fraud.

There was a reason why, in the Wizard of OZ, the theme was to “follow the yellow brick road.”  The all-controlling Wizard behind the curtain was a fraud.  The all-controlling elites behind the central bank curtain are also a fraud, but a more sinister one that has been cornered like a rat, and they are fighting back.

The way in which the elites are fighting back is why silver is under $20, right now. If the price of silver were allowed to rally and reflect reality, the exponentially higher prices would expose what lies behind the central bank fraud.  The market is rigged.

If you want an idea of what to expect for the future price of silver, one only has to look at Bitcoin.  It is not a government regulated market, and it is one that has taken the world by surprise.  Just a few years ago, Bitcoin was under $1.  Recently, it ran up to over $1,200.  The appetite for any fiat alternative is huge.  Bitcoin is not a currency, nor does it have the history of being currency-backed like silver and gold do.  Once the lid is taken off the precious metals markets, they will leave Bitcoin in the dust.

The good news is: every single fiat currency throughout the history of the world has failed.  An ounce of silver is still the same ounce of silver from thousands of years ago.  The bad news is: no one knows for how much longer the elites can keep control, via their central banks, in suppressing the price.  The good news to the bad news is that the end is near.

We are looking at the sale of the century for the price of silver, right now.  There is a reason why China, Russia, and India have been huge buyers of physical silver and gold. Because of silver’s properties of being an indispensable necessity for industrial use, it has been used up considerably more than has gold.  Both will rise incredibly in the not too distant future, and odds based on the gold/silver ratio favor silver.

One is likely to experience a greater return on investment in silver over gold.  There is never any guarantee, but using historical relationships between the two makes silver a better buy and hold.  The ratio is around 62:1.  As both metals rise, once freed from central bank tentacles, the probability is that the ratio will move more toward 20:1. Wherever it goes, anything less than 62:1 makes silver preferred, on that basis.

This remains the best opportunity to be buying and holding physical silver.  Only buy the physical metal, in coin or bar form, as you can afford.  Do not buy silver in any form of paper, for you are unlikely to ever received physical, if promised.  Plus, the fine print will tell you that delivery can be made in some form of paper payment in place of physical delivery.

Does it make sense to wait for the “best price possible?”  Not as far as we are concerned.  Silver may not be available at any price, or in very limited quantities, at some point.  Plus, the reasons for buying are about wealth preservation that will eventually lead to increased
wealth, when price finds its eventual true level.  It is not worth the risk if you intend to accumulate silver and then not be able to buy any.

There could be one more new low in the near future, but that does not mean the physical will be commensurately lower.  It is a personal choice.  The time to buy is now, in the present.  When silver eventually reaches over $150 the ounce, will it have made any material difference if you paid a dollar or two more or less the ounce?

[Editor’s Note: The author’s views and conclusions in the above article are unaltered and no personal comments have been included to maintain the integrity of the original post. Furthermore, the views, conclusions and any recommendations offered in this article are not to be construed as an endorsement of such by the editor.]


Other Recent Noonan Articles:

1. Noonan: Charts Say “Still No Ending Action to Decline In Gold & Silver”


No matter what the latest “news” development is for PMs that paints a rosy picture, those in the fundamentalist camp are looking through rose-colored glasses to expect change in the near future. The charts for gold & silver continue to tell a more accurate story that belie all known fundamentals, and the charts shown here depict a market in decline with no apparent end in sight. Read More »

4. Noonan on Gold & Silver: “When Fundamentals Fail, Charts Prevail” & This Is What They’re Conveying

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Fundamentals are relative, charts are absolute. They accurately reflect all that is going on, regardless of reasoning/motivation and…right now, the charts are letting us know that higher PM prices are unlikely to occur anytime soon. Barring some kind of “overnight surprise” that will shock the markets, odds favor lower prices over higher prices unless and until demand shows up in chart activity. Read More »

5. Noonan: When Will Silver Rise to Higher Values? Here’s the Answer


It takes time to turn a market around, and silver is in that process. There is no degree of certainty that a bottom has been reached, but there exist at least a probability the recent lows may hold. Whether the lows hold or not, one cannot lose sight of why accumulating silver has been so important. When price finally accelerates higher, the trying of one’s patience will quickly be forgotten and all will be well. Read More »

6. Noonan: Charts are Infallible! Here’s Why & What They’re Saying About Gold & Silver

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Below is a perfect example of how the charts timed the movement in the price of gold and silver over the past week. Yes, you CAN time the market as this article clearly demonstrates! When the market “talks,” we listen.] Read More »

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2. The U.S. Dollar Will Collapse When This Upcoming Event Happens

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3. China Converting U.S. Dollar Debt Holdings Into Gold At Accelerating Rate


China, Russia and other nations are exiting their dollar-denominated holdings in favor of gold. This action should put pressure on the dollar and U.S. treasuries, pushing not only central banks, but mainstream investors towards the safety of precious metals and other tangible assets that cannot be defaulted on. There will be a rush out of dollars and into assets with no counter-party risk, it is just a matter of how soon it happens. Read More »

4. Russia & China Have Power to Collapse U.S. Economy! Is Hoarding of Gold Their First Step In Doing So?

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6. Gold:Silver Ratio Suggests Much Higher Future Price for Silver – MUCH Higher!


The majority of analysts maintain that gold will reach a parabolic peak price somewhere in excess of $5,000 per troy ounce in the next few years. Given the fact that the historical movement of silver is 90 – 95% correlated with that of gold suggests that a much higher price for silver can also be anticipated. Couple that with the fact that silver is currently greatly undervalued relative to its average long-term historical relationship with gold and it is realistic to expect that silver will eventually escalate dramatically in price. How much? This article applies the historical gold:silver ratios to come up with a range of prices based on specific price levels for gold being reached. Words: 691 Read More »



  1. Naked Shorts Exposed!

    Yes, I agree that the PM market is being manipulated by the Central Banks and their close friend the Big Banks; sooner or later all the things they are juggling to keep the lid on this can of fiscal worms is going to end and then we will se PM’s suddenly restored to there rightful value as everyone scrambles to “fill” the paper trades, which will cause the values of PM’s to skyrocket!

    A good example of what may happen very soon is what happened to VW stock when investors were using naked shorts to drive VW stock downward. Then suddenly there was none to be had, (since VW was quietly buying up as much of it as they could get on the quiet) and those not holding physical shares had to pay what was then enormous amounts to settle their accounts, which made VW stock very valuable!

  2. Update:
    Now that China has outlawed Bitcoin, (I wonder why?), it’s market price has fallen. This is a sign to me that countries will not stand for anything to upset their fiscal apple cart, that is unless they control its value!

    I now look to PM’s to be THE investment for the future, because industry uses Gold, Silver and most of the other PM’s (along with Copper) and paper money cannot fill that demand!

    The global race for resources is on and the Chinese are way out front trying to corner the market on just about everything of true value…

  3. As an amateur observer (and analyst, by default) of the manipulation of precious-metals prices, it’s very heartening to be confirmed in my opinions by a learned professional such as Mr Noonan. It brings me comfort and peace of mind when some of the semi-private musings posted on my personal blogsite coincide with his expert analyses. In May this year I posted an item called “Unsafe Custody”, written for residents of the Cayman Islands – where I live as a retired tax-haven professional. That item was a follow-up to one called “Cyprus and Cayman”, posted two months earlier. My ramblings in no way compare with Mr Noonan’s erudition, but here is a link to the May article, in case anybody is interested in reading it.