Deadened Silver Price in Forty Days Since Shanghai Silver Exchange Opens
Rumors, which circulate around the topic of the Shanghai Silver Exchange, submit that the exchange is to act in competition with western exchanges of the same nature, and not coordinate with them on the silver price mechanism. This, due to the new counterbalance to western banking silver suppression, will send silver prices higher. Now, about forty days after the exchange was opened, the silver price trend remains a slide down. The price has ranged from shy of $31 to tonight’s low of $26.75. This is a continuation of the downward trend embarked upon in March, when silver was still the best performing asset year-to-date.
In the ten days before today’s volatility, the silver price had barely moved. It’ s range from June 11 to June 21 was $28-29, which is quite narrow for silver. That’s price stability that proponents of future exchanges can be proud of, and this stability is the impetus that a platinum exchange is called for – to manage the bull market in gold and silver. Here are the charts from May and June in silver:
The Shanghai Silver exchange makes the market more liquid. The question is whether this is bullish for silver prices or not. Will this liquidity aid in “drive-by shootings” of the silver price? Tonight, the silver price is not firming up after a weak day in the U.S., dipping to the chilly, murky waters of $26.73 as the SSE is open for business.