JPMorgan "Bleeding" 2 Million Silver Ounces Amid Price Explosion!

[Igor Pereira]

If you wanted confirmation that the silver rally is driven by institutional physical panic, here it is. Comex inventory data updated today (17/12) show that the JPMorgan Chase Bank (JPM) — historically the "guardian" that suppresses volatility — suffered a massive loot.

By Igor Pereira

According to the official CME document we analyzed (see attached image):

• The draw on JPM: A colossal withdrawal of 1,955,429,800 ounces was registered in the category Eligible JPMorgan's vault.

  • ExpertFX Reading: That's not retail buying money. This is a "whale" (sovereign or industrial fund) demanding the physical possession of nearly 2 million ounces at once, taking the metal from the bank's control.

• The Price Context: This withdrawal occurs at the time silver prices rose $4.00 in a short period. The metal's coming out of the vault. Because The price is rising, not the other way around. Whoever's got metal is taking it home.

Even with a few point entries in other warehouses, the system as a whole continues to lose physical liquidity:

• Received entries:

  • Loomis International received +600,983 ounces.

  • StoneX received +459.092 ounces.

• Net Result (Net Change): Despite these entries, the weight of JPMorgan's withdrawal was so large that the total inventory of COMEX fell more 895.354.530 ounces on the day.

  • == sync, corrected by elderman == System's in red. Every day, there are almost a million ounces less available to secure paper contracts.

For the community ExpertFX School, the message is clear:

1. The Backstop. You're failing: When JPMorgan loses 2 million ounces in one day, it means that the "emergency reserve" of the market is being consumed. This removes banks' ability to contain high prices.

2. Trend Confirmation: The correlation between High Price + Fall Stock is the strongest sign of a Bull Market secular.

3. Strategy: Keep buying. Intraday volatility is noise; the key sign is that physical metal is disappearing from the New York safes.

With inventory dropping almost 900,000 net ounces today, the pressure for a Short Squeeze Even more violent (above $65) increased dramatically.