- Rule – The Physical Silver Market Is Getting Dangerously Tight!
With continued volatility in global stock markets, and gold staging a big rally off of the lows, today King World News interviewed one of the wealthiest and most street-smart pros in the business, Rick Rule. Rule told KWN that when it comes to silver, “there is the strong case for some very substantial upside.”
Rule, who is now part of Sprott Asset Management, discussed silver and gold at length. He also talked about the problems the world currently faces. But first, here is what Rule had to say about Sprott’s very successful offering in the Sprott Physical Silver Trust: “I think it’s evidence of two things: One, we felt we had reasonably good chances of buying the silver if we raised the money. Second, this points to the continuing strength of the high end retail investment market for silver in North America.”
“The offering was well received. It was sold out, including the green shoe (over-allotment). This is also evidence of the fact that while some of the more leveraged institutions have been forced sellers of silver, there is still very strong high end retail demand. These are individuals who don’t feel financial stress, and who feel better owning physical silver.
I would also say that if this market begins to move to the upside, it would appear from the disparity of silver available to trade and the amount that actually does trade, that there is the strong case for some very substantial upside.”