I copied this from a r/wallstreetsilver post:
Intro
It is safe to say all of us here are stackers because we believe precious metals, namely silver, are vastly undervalued in their relation to other asset classes and their utilitarian uses. We know that PMs largely have been suppressed since the 80s via the CRIMEX and LBMA to protect the US Dollar's hegemony in the global monetary system and for the Governments to peddle their debt as a better option to real money (i.e. gold & silver). We know this at our core, this is our mantra and our rally cry. We know that cash is trash and all fiat goes to its intrinsic value zero. But its that last part I want to hammer home... If we believe cash is trash and all fiat goes to zero, have we all taken the appropriate amount of time to really understand what that means and what the world will look like around you when (not if) that happens? Have we all mentally prepared and outlined what our personal game plan is as we go through that transition?
HYPERINFLATION AND THE FALL OF ROME
You could argue that Governments have always tried to manipulate PMs, which would be 100% accurate. This is not a new scheme. If you ask most people, what caused the fall of the Roman Empire? Most people would tell you it was because of the Barbarians. Sorry, no... The barbarians have been attacking Rome for a hundreds of years. It was the innerworkings of the Roman economy and politics that allowed the empire to be overrun. Historians cite some of the main reasons the Roman Empire fell was due to a debasement of its currency (Rome had the first recorded massive hyperinflation on record) to cover its deficit spending, massive corruption by political leaders, an over expanded military, the rise of an eastern empire, lacking enough labor to keep up with the economy, and political instability. Sound familiar? If you are an American, this should bring chills down your spine. It should also be remembered that after Rome fell, the dark ages descended on Europe and the feudal system reigned for a thousand years after.
Mike Maloney does a great job outlining the similarities of the current state of the USA and the fall of the Roman Empire in this video
Fall Of Empires: Rome vs USA (Hidden Secrets Of Money Ep 9)
So what can we learn from Rome? Well after it debased its currency all hell broke lose during the hyperinflation and that was the start of its total demise. Life got super shitty after the fall of Rome and the same standard of living would not be achieved for another 1000+ years. Well that's just great to look forward too. We must keep this in our minds as we stack. Moving on.
HYPERINFLATION AND THE RISE OF THE N*Z1S
I'm going to take my time with this section as I feel it is the most relevant and a closer example of what may be in store for the future of the world.
There are striking parallels between the U.S. economy (since 2007) and the economy of the German Weimar Republic of the 1920s. Germany suspended the gold standard when the war broke out so it could deficit spend its way to pay for the war. Sound familiar America? Eh hmm.. Vietnam War 1971? When Germany lost WW1 it agreed (i.e. was forced) to pay massive war reparations at the Treaty of Versailles. After the war a recession hit the German economy, the central bank faced with both the recession and the war reparations, decided to do what all governments do when faced with massive debt, they just start printing (aka counterfeiting) to paper over the cracks in their economy. It printed massive amounts of currency to stimulate business activity and pay their debt. The inflation started out relatively (key word) small, the result of this rise in inflation made the cost of living rise, the middle class was getting poorer, and debt in the economy was growing. Again... sound at all familiar???
Although core fundamentals in the economy was deteriorating, industrial magnates benefited from money-printing. Easy credit enabled business leaders to wipe out their debts with cheap money. They expanded plants, bought companies, and speculated in foreign exchange with borrowed money. Must I say it again?
That expansion of cheap credit made its way into the German stock market. Germany’s booming stock market was the envy of Europe. Michael Burry in his recent twitter posts (since deleted) said it well.
"Speculation alone, while adding nothing to Germany's wealth, became one of its largest activities. The fever to join in turning a quick mark infected nearly all classes. Everyone from the elevator operator up was playing the market."
"The volumes of turnover in securities on the Berlin Bourse became so high that the financial industry could not keep up with the paperwork...and the Bourse was obliged to close several days a week to work off the backlog" #robinhooddown
The current state of our stock market is a direct result of the Federal Reserve printing currency in ever greater amounts and the expansion of more and more debt since 2007, just like it was in Germany in the 1920s. This was the canary in the coal mine. So what happened next?
All of a sudden, market psychology changed. The jig was up, people woke up to the fact that the money printer switch was stuck on and it wasn't going to be turned off. One minute the rich were borrowing like crazy. Overnight, no one wanted to buy the debt and in an instant the credit collapsed.
To examine how unbelievable quick this took place. While there was rapidly increasing inflation between 1918-1921 and especially what would be an obvious inflation problem in 1922, the serious level of explosive hyperinflation only lasted for a little over a year in 1923, at which point the German mark was worth one trillionth of its original value. People who did not have gold or silver, or things to barter with were totally wiped out and destitute. Unemployment was massive.
Mike Maloney does yet another great job in explaining this event.
VELOCITY & The Money Illusion - Hidden Secrets Of Money Episode 7 - Mike Maloney
As the hyperinflation reached its ultimate end, people had no use for the currency, they burned piles of it in their homes to keep warm. They used the currency as wall paper. They dumped it in the gutter in the streets. It ceased its use as a form a money. The farmers refused to take any form of paper money for their crops. The harvest of 1923 sat in farmers’ warehouses while supermarkets in the cities were empty. Starvation and civil unrest became the way of life. The state itself threatened to break apart. On Nov. 9, 1923, NZ1S Party leader Ad--- H-t-er attempted to seize power in Munich, and was jailed. The damage was done, the German people so battered and bruised by the economic shock it had just been traumatized with, the social dynamic laid the ground work for the rise of the NZ1S party a few years later. We all know how that turned out. We must keep this in our minds as we stack.
Price Expectations
Ahhh the good part. What does all this mean for Silver??? In short, its going to the f*cking moon, but not so fast what does that really mean? Lets examine this chart.
[url=https://imgur.com/ZyWTXqo][img]http://i.imgur.com/ZyWTXqo.gif[/img][/url]
Let's see how you would be counting your currency in silver's terms if you were a German in the 1920s.
Price of Silver in German Paper Marks:
Date: Silver Price/Mark:
1919
Jan: 12
May: 17
Sept: 31
1920
Jan: 84 <-- As a 1920's German do you sell your silver here?
Price deflation after Feb. 1920: prices on imported goods fell by half; German mark strengthened against other currencies.
May: 60 <-- How about here? Lock in your gains?
1921
April rate of price inflation was 6%.
Sept: 80 <-- Here?
1922
Jan: 249 <-- Definitely here, right?
May: 375
Price inflation after July.
Sept: 1,899 <-- HOLY SHIT I'M RICH!!! I'm selling!
1923
Jan: 23,277 <-- DAMMIT!!!!! I should have never sold!
Price stability in the spring.
May 44,397 <-- WTF is going on?
June 5: 80,953
July 3: 207,239 <-- My job just went out of business. Everyone around me has lost their jobs. What are we going to do now?
Aug 7: 4,273,874 <-- OK I'm getting scared what is happening?
Sept 4: 16,839,937 <-- I'm in destitute poverty.
Oct 2: 414,484,000
Oct 9: 1,554,309,000 <-- I'm stealing food to survive.
Oct 16: 5,319,567,000
Oct 23: 7,253,460,000
Oct 30: 8,419,200,000 <-- I wish I never sold my silver.
Nov 5: 54,375,000,000
Nov 13: 108,750,000,000 <-- Let's burndown City Hall!
Nov 30: 543,750,000,000 <-- We need a new strong leader to bring us out of this!
Finally, one U.S. Silver Dollar = 4.2 trillion marks
[About 3/4 of one ounce of pure silver cost 4.2 trillion marks.]
WE KEEP THIS IN MIND WHEN WE STACK!!!!!!!!!!!!!!!!!!! APES STRONG TOGETHER!!!!!!!!! SEE YOU ON THE OTHER SIDE!!!!!
Chart Citation:
https://www.youshouldbuygold.com/weimar-first-deflation-then-inflation/
Last ditch effort to spam PMs at high prices while all of Europe is back in lockdown, Bitcoin's rise has stalled, and 10yearT rates going parabolic.
Price remains stagnant despite HUGE SURGE in silver pyrchases including enormous purchases of hundreds of millions of ounces/tons by countries like India and Poland as well as a shit ton on a coordinated raid last Monday by WSS
Taken from a WSS post https://www.reddit.com/r/Wallstreetsilver/comments/m99tr8/huge_silver_demand_leading_to_shortages_seen/
Below is a list of some of the countries and posts where you fine Silverbacks have shared excellent insights into the tightness in Physical silver markets!
Each of these stories is individually powerful and when taken together...well decide for yourself how close physical silver may be to becoming 'unobtanium'.
• US COMEX - 26m in warehouse drainage over the last 6 weeks
• China - 8.5 Million Oz of Silver Removed From Shanghai Exchange (SGE) on Mar 18th
• India
• 6m oz / 80 tons of Silver removed from the MCX (India's COMEX) &
• India to help empty COMEX
• Amazon.in - India. It is all sold out (was available at 40% premium...now gone)
• India's silver imports in 2015 accounted for nearly one-third of global mine supply, in 2020 it was only 8%...
• Australia
• Perth Mint...can they keep up with demand? &
• Perth Mint Inventory Shortage Evaluation
• Mexico - Silver Shortage (BBVA / Banco Azteca, etc...)
• Poland - Mint of Poland completely out of investment silver
• US
• US Mint Silver Squeeze Inventory &
• U.S. Mint Boxed in by Legislation
• US Silver Eagles sales - comparison back to 2017
• Austria - 1.4m ounces of Silver removed from small Austrian ET
• Netherlands - Silver shopping PAUSED
• England - Royal Mint gold rush causes chaos for customers: 1) Reddit, 2) Original article
• Ireland - national online dealers not shipping silver, u/DoctorJTattoo buying their Silver from Bulgaria and Estonia!
• Malaysia Silver Bullion is also out of silver bar and very minimum on coins. The next restock is at least 4 weeks. per u/GreEn_rEtarD in comments below.
• Russia - Russians boosted precious metal investments during Covid crisis "... the demand for gold and silver coins tripled in 2020 compared to a year earlier..."
• South Africa - ???
Online retailers:
Monument Metals - coins got cancelled due to lack on inventory
Is a Silver run on the banks happening right now?
Request: What have I missed? If you see or write a post about supply tightness somewhere in the world, let me know (or add a link in the comments) so that I can add above!
WSS is a global community, giving us eyes and ears in many many countries. Stories about what you're seeing in your local market are very much encouraged in the comments below as well!
Welcome to our new members. Please note that while this is not investment or financial advise, if you cannot find physical silver, consider local coin shops, shares of PSLV which are backed by physical silver which goes a long way or see this list of sites compiled by another Redditor.
Below graphic was tweeted on Feb 14.
https://preview.redd.it/wrtvqa3db8o61.png?width=1280&format=png&auto=webp&s=d334bf54e3e9ff1f369de9130522bc0de747d9b8
So crash is imminent, but PMs, that do very well in crashes, are overpriced?