In Jim Cook's Archive


It’s frustrating to see the extent that silver analyst Theodore Butler’s work is plagiarized. Numerous articles are now published that use his words almost verbatim. The authors of these articles want their readers to think they originated this breakthrough silver analysis. They never mention Mr. Butler as the source, or give him credit or quote him. It doesn’t say much for the ethics of these writers.

The reason that so many people pilfer his work lies with the many pioneering breakthroughs he has made in the study of silver. He started out almost 30 years ago writing the regulators about an illegally large short position in silver. In 2000, I was so impressed with his analysis we began to pay him for consulting with us. Virtually all the predictions he made about the price rising came to pass in the following years. Time and again, his analysis proved correct.

Up until 2008 it was unknown who the big short seller was. Contrary to commodity law this entity periodically manipulated the market lower. Mr. Butler suspected one of the culprits was a big investment bank. In 2008, a rise in the silver market caught the big short, Bear Stearns, with their pants down. As their losses mounted, it pushed them towards insolvency. Somehow, JPMorgan was enticed to take over the big short position. Quite possibly this was arranged by the U.S. Treasury which gave them a special dispensation for future market manipulation. Ted Butler discovered a letter from a congressman that brought to light JPMorgan’s involvement.

Since that time, Mr. Butler has accused the big bank of blatantly manipulating silver. At first, it was with a large short position that they used to break the back of the 2011 price which had risen to $46 an ounce. Then later, after realizing the limited amount of available physical silver, they used the short position to hold down the price while they accumulated a vast hoard of physical silver. All of this was documented by Mr. Butler.

Since 2008, Mr. Butler has written extensively about JPMorgan’s chicanery. He has sent his weekly missives to the executives and directors of JPMorgan and to the chief regulators at the CFTC and CME (COMEX). None of them have ever replied. Certainly, if Mr. Butler were wrong, JPMorgan would have responded to being called crooked, dishonest and manipulative again and again. Big companies have an army of lawyers to threaten anyone who impugns their reputation. Why has Mr. Butler never heard from JPMorgan’s legal department? Why else other than he is right.

Mr. Butler provides proof that JPMorgan has filled its warehouse with millions of ounces of physical silver. Furthermore, he provides powerful clues from public reports that the big bank has loaded up on 350 million ounces of silver and maybe more. This is the most powerfully bullish information imaginable for a tangible asset. The silver market has not factored in this information. The price does not reflect this mammoth accumulation of silver by one of the world’s largest and most powerful banks.

This is like having inside information that the investment world has yet to discover. What could be more bullish? If silver goes up a buck, Mr. Butler assures us that JPMorgan will gain $350 million. If it goes up ten dollars that’s $3½ billion. A $100 rise means $35 billion. And if they have 450 million ounces as Mr. Butler thinks is possible, that’s $45 billion. That’s why Mr. Butler says this is the chance for the score of a lifetime. He claims that you will never see an opportunity like this again. Mr. Butler is a careful, cautious analyst. He does not shoot from the hip and he backs up his assertions with solid evidence. I don’t remember anyone correcting the accuracy of any of his statements. This genius of silver analysis is telling us that this is a chance for the score of a lifetime.  Even JPMorgan has followed his advice. So should you.

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