HUGE: Silver Price To $300 VERY SOON! (THIS IS WHY)

Key Concepts

• COMEX: The Commodity Exchange Inc., a futures and options market for precious metals like silver and gold. Concerns center around its ability to fulfill physical delivery requests.
• Registered Inventory: The amount of physical silver held in COMEX-approved vaults, available for immediate delivery.
• Unregistered Inventory: Silver held in COMEX vaults, but not immediately available for delivery.
• Dollar-Cost Averaging: An investment strategy of buying a fixed dollar amount of an asset at regular intervals, regardless of price.
• FOMO (Fear Of Missing Out): The anxiety that one might miss out on a profitable opportunity.
• Force Majeure: An unforeseen circumstance that prevents someone from fulfilling a contract.
• Paper Silver vs. Physical Silver: The distinction between silver traded as contracts on exchanges (paper) and actual physical silver bullion.
• Shanghai Exchange: The primary precious metals exchange in China, where physical silver prices are currently higher than on the COMEX.

---

Silver Market Analysis & COMEX Concerns – Interview with Michael Pachoni (Can-Am Bullion)

I. February Silver Giveaway & Initial Market Context

The video begins with an announcement of a silver giveaway – 30 ounces of silver to a lucky winner, increasing from 10 ounces in December and 20 ounces in January. To enter, viewers must like the video, subscribe to the channel, and comment with their favorite type of silver or silver price predictions for February. This is followed by an introduction to the main discussion with Michael Pachoni, President of Can-Am Bullion, focusing on the current volatility and fundamental strength in the precious metals market. Ivan, the host, notes the significant price swings in silver (from $120 to $70-$80) while acknowledging continued investor interest ("stacking").

II. Record Retail Demand & Recent Market Activity

Michael Pachoni reports a surge in retail demand at Can-Am Bullion, with sales up 500-600% month-over-month for several months. While demand has recently slowed as prices have fallen, the initial surge was driven by FOMO and the fear of missing out on rising prices. This led to a unique situation where Can-Am Bullion was buying significant amounts of gold and silver from customers when prices were peaking, and even experienced lines of 30-50 people outside their store – a first for the company. This unprecedented demand has prompted Can-Am Bullion to secure a larger retail location. The situation mirrored previous periods of uncertainty like bank failures and the COVID-19 pandemic.

III. COMEX Shortages & Potential Systemic Risk

A central theme of the discussion is the potential for a crisis on the COMEX. Pachoni highlights the increasing physical delivery requests, particularly in March, which is the largest delivery month. Last year, 80 million ounces of silver were delivered; this year, potential deliveries are estimated at 400 million ounces. While not all requests will be fulfilled with physical metal (some will settle for cash or be rolled over), the demand significantly exceeds the COMEX’s registered inventory of approximately 80 million ounces.

Pachoni explains that the COMEX has been changing its rules regarding silver to manage the situation, suggesting a potential for a “force majeure” event where they may be unable to fulfill delivery obligations. He believes the COMEX is aware of the impending shortage and likely has a plan, but the details are unknown. He posits that they might force settlements in cash rather than physical silver, a move that would fundamentally alter the paper-based silver market. He states, “Unfortunately we’re at the mercy of the bullion banks and the commex and and the rigging of the precious metals markets until the physical runs out.”

IV. The Disconnect Between Paper & Physical Silver Prices

The conversation addresses the growing price discrepancy between silver traded on the COMEX and the physical price in markets like Shanghai. Pachoni attributes this to a lack of trust in the COMEX’s ability to deliver physical silver. Buyers are willing to pay a premium on the Shanghai Exchange because they are more confident in receiving the metal. He expects this spread to continue as the COMEX’s inventory dwindles. He explicitly states, “Why would you trust the ComX? Personally, I don’t trust the ComX at all.”

V. Geopolitical Risks & Future Outlook

Pachoni identifies a potential war with Iran as a significant geopolitical risk that could dramatically impact precious metals prices, driving them higher. He emphasizes that gold and silver historically perform well during periods of geopolitical uncertainty. Regarding the COMEX, he anticipates issues arising in the coming year, potentially leading to rule changes or a systemic event.

He advises viewers to continue dollar-cost averaging into silver, viewing any price dips as buying opportunities. He believes the price of silver will be significantly higher in two to three years. He states, “paying an extra 10% or 15% because the market falls a little further, I don't think is a big deal.”

VI. Can-Am Bullion & Resources for Investors

Michael Pachoni promotes Can-Am Bullion (canbullion.ca and canbullion.com) as a trusted precious metals dealer, highlighting their authorization as a Royal Canadian Mint dealer, best price guarantee, and excellent customer service (five-star Google rating, Shopper Approved seal, A+ BBB rating). He also mentions his “Gold Awakening” podcast and YouTube channel as resources for further information.

VII. Data & Statistics Mentioned

• Silver Giveaway Amounts: 10 ounces (December), 20 ounces (January), 30 ounces (February).
• Can-Am Bullion Sales Growth: 500-600% month-over-month for several months.
• COMEX March Delivery (Last Year): 80 million ounces of silver.
• COMEX Potential March Delivery (This Year): Approximately 400 million ounces of silver.
• COMEX Registered Inventory: Approximately 80 million ounces of silver.
• COMEX Unregistered Inventory: Approximately 300 million ounces of silver.

Conclusion:

The interview paints a picture of a silver market facing potential disruption due to increasing physical demand and concerns about the COMEX’s ability to fulfill delivery obligations. Pachoni’s insights suggest that the current price volatility is a result of both speculative trading and underlying fundamental issues related to the availability of physical silver. He advocates for a long-term investment strategy, emphasizing the potential for significant price appreciation in the coming years, while cautioning investors about the risks associated with the paper silver market and the COMEX. The looming March delivery date on the COMEX is identified as a critical point to watch for potential market instability.