Per some experts: Silver may have turned the corner
LONDON (July 22) JPMorgan "is taking physical delivery of silver bullion in upwards of 90%" of contracts being settled, a drastic increase from the usual 3 percent. While the bank could just be anticipating increased demand for physical delivery requests, it may also be gearing up for a rise in silver prices, Davis states. In early Monday trading, silver surged to $20.04 before some profit takig appeared...causing the white metal to slide to $19.97 (but still up 0.15% on the day). It is rumoured JPMorgan has a rather large position in silver that it is frantically trying to cover. However, platinum is down 0.94% at $1424.50/oz. Many experts believe silver is now at or below its cost of production. Consequently, it won't be long before companies start closing unprofitable mines, thereby decreasing supply and driving prices up. Therefore, as silver values increase, the stock prices of silver mining companies may soften.