Is JP Morgan Shorting Paper Metals While Acquiring Massive Physical Stockpiles?

• All wars are based on deception! – Sun Tzu, the Art of War.
• Mr. Gold, Jim Sinclair, is correct! If you think the bullion banksters are not on the long side of the bullion trade while depressing paper bullion prices: you are crazy! Eventually, they will shove the bill for all the losses on the paper trade on the sheeple using a myriad of false pretexts, war, Iran … blah, blah, blah! The trigger for the bullion price rocket is very likely the coming Greater Middle East war and Satanic World War 3! October 2012?? Emphasis mine:
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  Is JP Morgan Shorting Paper Metals While Acquiring Massive Physical Stockpiles? 
  by http://www.silverdoctors.com/ 
  As silver investors are likely aware, leading silver analyst Ted Butler has openly speculated whether JP Morgan’s alleged massive short silver position is held on behalf a client such as the Federal Reserve (with the intent to prop up the dollar by suppressing gold and silver) or the Chinese government (with the intent of acquiring physical gold and silver bullion at a discount due to their massive paper short position on the futures market).
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  The Doc has long privately wondered whether the bullion banks’ PM short positions could actually be leveraging their own physical bullion accumulation by artificially suppressing the paper futures price.
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  These thoughts originate in our following of Jim Sinclair, who has always maintained that the bullion banks will be the one’s making the lion’s share of the profits in this great secular gold and silver bull market.   One thing the bullion banksters are not is dumb, and they can see the writing on the wall for the US dollar as well as any SD or ZH reader.
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  New commentary from a bullion insider who claims to have personally managed the movement of 27 million ounces of gold from HSBC’s vaults into JP Morgan’s seems to substantiate Sinclair’s claims.
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  The industry insider has come forward claiming that JP Morgan’s paper short position is in fact a hedged trade (as Blythe Masters claimed here)- and claims that JPM is in fact MASSIVELY LONG PHYSICAL GOLD AND SILVER HELD IN THEIR OWN PRIVATE VAULTS while short the paper futures market. Is JP Morgan actually a double agent shorting the paper metals market for their own benefit?
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  The claim is not only rational, but it also would perfectly explain why the CFTC has opened three separate investigations into silver market manipulation, and has yet to charge anyone with manipulation of silver.
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  Clearly, if JP Morgan’s commodities desk was accumulating massive physical gold and silver inventories in their own personal vaults, they would be able to claim their paper short position is a legitimate hedge- essentially leveraging their physical position against the paper COMEX futures market itself.
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  Miles Franklin’s David Schectman states he has been in contact with the insider, who claims JPM is massively long physical gold and silver bullion stored in their own warehouses:
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  Whereas Ted Butler focuses on JP Morgan and “the Big Four Commercial Banks,” and their perpetual “short” position in silver (and gold), I don’t recall him ever suggesting that they actually own the physical silver to offset their short positions.
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  My friend Trader David R flatly states that this IS the case; he has seen the silver with his own eyes in London. In fact, he asked me to come with him last year and told me he would bring me to the vaults and personally show me the silver. Last winter he emailed me and said, “I will be going to London in May; if want to come along, I am sure I can get you a tour of a few of the major banks vaults (JPM included) and you can see all of the gold and silver for yourself ?”
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