Dive in Silver Price a “Setup,” Says Sprott
The recent price correction has largely been attributed to the increased margin requirements from the CME group. Between April 25 and May 5, COMEX increased silver margins to as much as 12 percent – or $21,600 per contract – from 6 percent, before silver tumbled 25 percent.
Sprott is referring to two separate lawsuits filed by trader Peter Laskaris in federal court against JP Morgan Chase & Co. and HSBC. Laskaris claims that the institutions held large positions in silver futures and silver options, then made large trades at key times, made large “spoof” orders that were placed and then canceled after the order has influenced the price, and communicated their trades to each other.
“It’s hard to make a call on where for sure all these things are going to go because we don’t know what the next ridiculous policy on the part of central banks and governments are going to be,” he said. “Silver and gold are competitors to fiat currency. They’re competitors and for the capitalist system to function, people have to trust currencies. ”
Spoof order? This is a new one on me. Just one more criminal act that proves these bastards are no good rotten cheaters and fraudsters. The problem with the lawsuit above is the banksters own the courts too, just as they owned the CFTC. The system is totally rigged in ever aspect of human affairs.