WEBVTT 00:00:00.000 --> 00:00:02.140 Okay, let's unpack this. If you were watching 00:00:02.140 --> 00:00:04.099 the precious metals markets back in December 00:00:04.099 --> 00:00:08.660 of 2025, you saw something. Well, something historic. 00:00:08.980 --> 00:00:12.099 And then, in an instant, a terrifying reversal. 00:00:12.640 --> 00:00:14.679 We're diving into the silver market's incredible 00:00:14.679 --> 00:00:18.079 volatility. We saw it peak near $65 an ounce, 00:00:18.320 --> 00:00:21.600 a nominal high, only to just execute this sharp, 00:00:21.780 --> 00:00:24.339 sutter retreat that wiped out billions in paper 00:00:24.339 --> 00:00:26.699 value in minutes. It was more than just a wild 00:00:26.699 --> 00:00:28.460 swing. You have to see this as a market structure 00:00:28.460 --> 00:00:31.280 event. Silver had been on this relentless climb, 00:00:31.300 --> 00:00:34.719 powered by huge fundamental demand. But the retreat... 00:00:35.079 --> 00:00:37.520 That wasn't triggered by physical weakness. It 00:00:37.520 --> 00:00:40.159 wasn't some new silver mine discovery. Our sources 00:00:40.159 --> 00:00:42.359 all point to the same thing. This was caused 00:00:42.359 --> 00:00:45.380 by complex trading mechanics, specifically the 00:00:45.380 --> 00:00:48.100 exchange itself stepping in to manage risk. And 00:00:48.100 --> 00:00:50.520 that is the absolute core of our deep dive today. 00:00:50.619 --> 00:00:52.659 We want to understand the sheer power of this 00:00:52.659 --> 00:00:55.280 paper market and how it can just override what's 00:00:55.280 --> 00:00:57.460 happening in the physical market. We're investigating 00:00:57.460 --> 00:00:59.520 the margin trigger retreat. I mean, the event 00:00:59.520 --> 00:01:02.320 involved over 67 million ounces in paper contracts 00:01:02.320 --> 00:01:05.019 traded in a flash. Yeah, that volume done in 00:01:05.019 --> 00:01:07.159 just a few minutes, that tells you everything 00:01:07.159 --> 00:01:09.099 you need to know. This wasn't a headline about 00:01:09.099 --> 00:01:11.739 mining. This was the plumbing of the financial 00:01:11.739 --> 00:01:14.319 markets seizing up for a moment. You have to 00:01:14.319 --> 00:01:17.230 remember the context here. Year to date. Silver 00:01:17.230 --> 00:01:20.010 had already climbed more than 100 percent. It 00:01:20.010 --> 00:01:23.090 started January 1st, 2025, around what, $31? 00:01:23.849 --> 00:01:26.010 So the market was already tight, it was volatile, 00:01:26.370 --> 00:01:28.969 and it was, frankly, it was ripe for some kind 00:01:28.969 --> 00:01:31.420 of institutional intervention. OK, so let's set 00:01:31.420 --> 00:01:33.900 the stage. Let's talk about the ascent and that 00:01:33.900 --> 00:01:36.599 peak. We really need to nail down the drama of 00:01:36.599 --> 00:01:39.400 that surge. Silver advanced pretty steadily from 00:01:39.400 --> 00:01:41.260 the high fifties right through the first two 00:01:41.260 --> 00:01:44.340 weeks of December. Then it peaked at an intraday 00:01:44.340 --> 00:01:47.159 high of sixty four dollars and sixty six cents 00:01:47.159 --> 00:01:49.519 on December 12th. That was a number that just 00:01:49.519 --> 00:01:51.519 grabbed headlines everywhere. It did. And you 00:01:51.519 --> 00:01:53.519 watch that ticker hit sixty four sixty six and 00:01:53.519 --> 00:01:56.040 you think, wow. But then you watch the closing 00:01:56.040 --> 00:02:00.010 bell and the story changes. dramatically. Spot 00:02:00.010 --> 00:02:04.750 prices closed that day at $62 .01. $62 .01. So 00:02:04.750 --> 00:02:06.769 that closing price was already a daily decline 00:02:06.769 --> 00:02:10.360 of 2 .41%. Exactly. The correction was instantaneous. 00:02:10.379 --> 00:02:12.639 It was violent and it was highly concentrated 00:02:12.639 --> 00:02:14.599 in time. I remember seeing that chart live and 00:02:14.599 --> 00:02:17.580 it looked like a glitch, you know, like a classic 00:02:17.580 --> 00:02:19.960 fat finger error, not some kind of fundamental 00:02:19.960 --> 00:02:23.080 shift. But even with that huge drop, the metal 00:02:23.080 --> 00:02:27.919 was still up 18 .56 percent for the month. That 00:02:27.919 --> 00:02:30.719 really just underscores the power of the momentum 00:02:30.719 --> 00:02:33.479 that was driving it up to that point. It absolutely 00:02:33.479 --> 00:02:36.180 does. But we do need to pause on that sixty five 00:02:36.180 --> 00:02:38.740 dollar figure just for Anyone following the history 00:02:38.740 --> 00:02:41.139 of precious metals? Yeah. Hitting a high nominal 00:02:41.139 --> 00:02:43.740 price. The highest number you see on the screen, 00:02:43.860 --> 00:02:46.360 that's one thing. But when you adjust for CPI 00:02:46.360 --> 00:02:48.639 inflation, it's important to note that we were 00:02:48.639 --> 00:02:51.120 still significantly below the peaks we saw back 00:02:51.120 --> 00:02:54.639 in 2011. Right. So to put that into perspective 00:02:54.639 --> 00:02:57.020 for you, the inflation adjusted high from 2011. 00:02:57.099 --> 00:02:59.379 That was somewhere in the range of $70 to $72 00:02:59.379 --> 00:03:03.879 an ounce. So while $65 was huge, we hadn't actually 00:03:03.879 --> 00:03:06.099 breached the true historical ceiling in terms 00:03:06.099 --> 00:03:09.120 of purchasing power. Correct. The surge was massive. 00:03:09.539 --> 00:03:11.909 But the market... technically still had room 00:03:11.909 --> 00:03:15.469 to run based on historicals. And what drove that 00:03:15.469 --> 00:03:17.930 initial surge throughout 2025, taking it from 00:03:17.930 --> 00:03:20.830 31 to 65. It wasn't just short term hype. It 00:03:20.830 --> 00:03:23.610 felt like the macro tailwinds were just ferocious 00:03:23.610 --> 00:03:25.960 all year. They were. The whole surge was built 00:03:25.960 --> 00:03:28.400 on this foundation of shifting monetary policy. 00:03:28.879 --> 00:03:30.780 We had a strong expectation of Federal Reserve 00:03:30.780 --> 00:03:33.539 rate cuts, which makes non -yielding assets like 00:03:33.539 --> 00:03:36.360 metals more attractive than, say, bonds. You 00:03:36.360 --> 00:03:38.439 combine that with persistent physical supply 00:03:38.439 --> 00:03:40.879 constraints, which we'll get into, and this macro 00:03:40.879 --> 00:03:43.319 environment of continuous U .S. budget deficits. 00:03:43.439 --> 00:03:45.939 I mean, that historically erodes the purchasing 00:03:45.939 --> 00:03:48.330 power of the dollar. Silver was behaving exactly 00:03:48.330 --> 00:03:51.009 as a hard asset should. OK, so strong macro, 00:03:51.270 --> 00:03:54.069 strong demand, tight physical supply. That gets 00:03:54.069 --> 00:03:56.909 us over 60 bucks. So why the instantaneous plunge? 00:03:57.210 --> 00:03:59.810 If the demand story is so solid, how does a market 00:03:59.810 --> 00:04:02.770 drop over $4 in an afternoon? And that brings 00:04:02.770 --> 00:04:05.509 us to the moment the futures exchange basically 00:04:05.509 --> 00:04:07.629 hit the emergency breaks. Yeah, that pullback 00:04:07.629 --> 00:04:10.229 wasn't organic. It wasn't a shift in sentiment. 00:04:10.409 --> 00:04:12.789 It was administrative. The immediate trigger 00:04:12.789 --> 00:04:16.389 was the CME Group. which runs the Comex futures 00:04:16.389 --> 00:04:20.149 market, putting in place an immediate, very dramatic 00:04:20.149 --> 00:04:22.430 adjustment to silver futures margins. So the 00:04:22.430 --> 00:04:25.509 CME raises the collateral demands for the main 00:04:25.509 --> 00:04:28.610 futures contracts, December 2025 and January 00:04:28.610 --> 00:04:31.689 2026. This is where we need to slow down a bit 00:04:31.689 --> 00:04:34.189 because the word margin can be really tricky. 00:04:34.310 --> 00:04:37.110 It doesn't mean what it means when you like buy 00:04:37.110 --> 00:04:39.889 a stock. That's the crucial distinction. It's 00:04:39.889 --> 00:04:42.009 so important when you buy a stock on margin, 00:04:42.449 --> 00:04:44.970 you're borrowing money to buy the asset. You 00:04:44.970 --> 00:04:47.649 own the stock. Futures margin is completely different. 00:04:47.750 --> 00:04:49.769 It's really a good faith deposit. Some people 00:04:49.769 --> 00:04:52.110 call it a performance bond. It's just collateral 00:04:52.110 --> 00:04:54.269 you post to guarantee that you can cover your 00:04:54.269 --> 00:04:56.149 daily losses if the price moves against you. 00:04:56.319 --> 00:04:59.000 So you could be controlling a 5 ,000 -ounce silver 00:04:59.000 --> 00:05:02.740 contract worth, what, over $300 ,000? But your 00:05:02.740 --> 00:05:05.120 actual margin deposit, the cash you put up, might 00:05:05.120 --> 00:05:08.040 only be $15 ,000 or $20 ,000. It's a tiny fraction. 00:05:08.600 --> 00:05:10.920 Precisely. And that's what makes futures trading 00:05:10.920 --> 00:05:13.560 so highly leveraged. And because that risk is 00:05:13.560 --> 00:05:16.139 so leveraged, the exchange reserves the right 00:05:16.139 --> 00:05:19.160 to raise those requirements instantly. And that's 00:05:19.160 --> 00:05:21.819 exactly what the CME did. They decided the volatility 00:05:21.819 --> 00:05:24.240 was too high and the risk was becoming systemic. 00:05:24.560 --> 00:05:27.689 Wait, hold on. Why is a rapid price rise dangerous 00:05:27.689 --> 00:05:30.269 to the exchange? Isn't the risk mostly on the 00:05:30.269 --> 00:05:32.269 people who are short selling, who bet the price 00:05:32.269 --> 00:05:34.449 would fall? That's a great question. And it gets 00:05:34.449 --> 00:05:36.850 to the heart of risk management. When silver's 00:05:36.850 --> 00:05:40.430 price explodes up 100 % in a year, yeah. The 00:05:40.430 --> 00:05:42.569 short positions are hemorrhaging money. If the 00:05:42.569 --> 00:05:44.670 price keeps climbing that fast, some of those 00:05:44.670 --> 00:05:47.029 short sellers might just default on their contracts. 00:05:47.550 --> 00:05:50.069 They run out of money. The clearinghouse, the 00:05:50.069 --> 00:05:52.750 entity that guarantees every single trade, is 00:05:52.750 --> 00:05:55.170 then on the hook for all those massive losses. 00:05:55.490 --> 00:05:58.709 Ah, so the CME raised margins to protect itself, 00:05:58.889 --> 00:06:01.050 to protect the whole system from a cascade of 00:06:01.050 --> 00:06:02.889 short sellers defaulting because they just couldn't 00:06:02.889 --> 00:06:06.410 cover the losses from that $65 spike. They forced 00:06:06.410 --> 00:06:08.750 them to either post a lot more cash or just get 00:06:08.750 --> 00:06:11.009 out of the trade. That is exactly right. They 00:06:11.009 --> 00:06:14.149 compel these highly leveraged traders to immediately 00:06:14.149 --> 00:06:16.310 post a huge amount of additional collateral, 00:06:16.509 --> 00:06:19.189 the margin call. And if you can't, you have to 00:06:19.189 --> 00:06:21.009 liquidate your position. It's a self -preservation 00:06:21.009 --> 00:06:23.430 move by the market's infrastructure. And the 00:06:23.430 --> 00:06:25.290 market's response to being compelled like that? 00:06:25.610 --> 00:06:28.470 It was an immediate deleveraging cascade. One 00:06:28.470 --> 00:06:31.370 source called it a liquidity vacuum. Traders 00:06:31.370 --> 00:06:33.410 who couldn't meet those new capital demands, 00:06:33.649 --> 00:06:36.490 they had no choice. They had to sell their leveraged 00:06:36.490 --> 00:06:40.860 positions instantly. This led to a stunning concentrated 00:06:40.860 --> 00:06:44.800 sell -off of 13 ,430 contracts. And one contract 00:06:44.800 --> 00:06:47.939 is 5 ,000 ounces. So that equates to a volume 00:06:47.939 --> 00:06:51.720 of 67 .15 million ounces. All of it dumped into 00:06:51.720 --> 00:06:54.540 the market in the span of just 15 minutes. And 00:06:54.540 --> 00:06:57.040 when that kind of paper volume hits a thin market, 00:06:57.600 --> 00:06:59.759 it just overwhelms all the buy orders and you 00:06:59.759 --> 00:07:02.819 get that rapid price crash we all saw. 67 million 00:07:02.819 --> 00:07:05.860 ounces. in 15 minutes. I mean, to put that in 00:07:05.860 --> 00:07:08.100 perspective for you, that is almost 10 % of the 00:07:08.100 --> 00:07:10.800 entire projected annual global mining production 00:07:10.800 --> 00:07:14.439 for the year. The volume is shocking, but what 00:07:14.439 --> 00:07:16.959 does it really mean for the physical silver market? 00:07:17.100 --> 00:07:19.699 Does this imply there's suddenly a glut of physical 00:07:19.699 --> 00:07:22.079 silver? No. And this is the core insight for 00:07:22.079 --> 00:07:25.000 you to take away from this whole deep dive. These 00:07:25.000 --> 00:07:27.319 events just underscore the fundamental disconnect 00:07:27.319 --> 00:07:30.240 between derivative trading and the tangible physical 00:07:30.240 --> 00:07:33.019 supply chains. The traders who sold those contracts 00:07:33.019 --> 00:07:35.839 didn't suddenly find 67 million ounces of silver 00:07:35.839 --> 00:07:38.040 bars in a warehouse to deliver. They were just 00:07:38.040 --> 00:07:40.339 closing out leverage bets on a screen. But how 00:07:40.339 --> 00:07:42.660 does selling a futures contract instantly drag 00:07:42.660 --> 00:07:45.029 down the spot price for actual silver? That's 00:07:45.029 --> 00:07:47.269 where arbitrage comes in, right? Arbitrage is 00:07:47.269 --> 00:07:50.350 the bridge. Yeah. In simple terms, big institutions 00:07:50.350 --> 00:07:52.769 that trade futures are also watching the spot 00:07:52.769 --> 00:07:56.350 market. If they sell futures contracts heavily, 00:07:56.949 --> 00:07:59.069 the price of the future starts to fall below 00:07:59.069 --> 00:08:01.790 the spot price. An arbitrager sees that little 00:08:01.790 --> 00:08:04.649 difference, and they can profit by simultaneously 00:08:04.649 --> 00:08:07.589 selling the expensive spot silver and buying 00:08:07.589 --> 00:08:10.509 the cheap futures contract. They lock in a small 00:08:10.509 --> 00:08:13.199 risk -free profit. And it's the cumulative effect 00:08:13.199 --> 00:08:15.339 of all those arbitrageurs selling physical spot 00:08:15.339 --> 00:08:18.259 silver to lock in that profit. That's what forces 00:08:18.259 --> 00:08:20.639 the spot price down to match the collapsing futures 00:08:20.639 --> 00:08:22.920 price. Exactly. It transmits the selling pressure 00:08:22.920 --> 00:08:25.279 from the paper market directly into the quoted 00:08:25.279 --> 00:08:28.019 spot price. It generates these huge short -term 00:08:28.019 --> 00:08:30.740 swings without a single ounce of extra physical 00:08:30.740 --> 00:08:33.600 metal being involved. Market observers all agree 00:08:33.600 --> 00:08:36.580 this sell -off was purely deleveraging. It confirms 00:08:36.580 --> 00:08:38.480 that the underlying physical tightness, that's 00:08:38.480 --> 00:08:40.929 still completely intact. But I wonder if that 00:08:40.929 --> 00:08:43.509 volatility itself hurts confidence. I mean, if 00:08:43.509 --> 00:08:45.789 I'm a solar panel company trying to budget for 00:08:45.789 --> 00:08:48.590 the next year, do I suddenly think silver is 00:08:48.590 --> 00:08:50.570 less reliable because the futures market blew 00:08:50.570 --> 00:08:53.769 up? That's a perceptive point. While the volatility 00:08:53.769 --> 00:08:56.809 introduces uncertainty, you find that physical 00:08:56.809 --> 00:08:59.169 market participants, they tend to focus on different 00:08:59.169 --> 00:09:01.909 metrics. They're not usually trading on minute 00:09:01.909 --> 00:09:04.740 -by -minute COMEX swings. They're watching dealer 00:09:04.740 --> 00:09:06.860 premiums, how much they have to pay above the 00:09:06.860 --> 00:09:09.360 spot price to get their hands on the metal, and 00:09:09.360 --> 00:09:11.940 they're watching inventory levels. Those things 00:09:11.940 --> 00:09:14.440 operate independently of these short -term futures 00:09:14.440 --> 00:09:17.139 moves. They care about the supply chain, not 00:09:17.139 --> 00:09:20.240 hedge fund leverage. That makes sense. The CME 00:09:20.240 --> 00:09:22.779 solved a problem on Wall Street, but it didn't 00:09:22.779 --> 00:09:25.139 solve the long -term problem facing industrial 00:09:25.139 --> 00:09:28.139 users. Let's pivot away from the paper market 00:09:28.139 --> 00:09:30.419 for a second and focus on those fundamental drivers, 00:09:30.960 --> 00:09:32.799 the whole reason the price got over $50 in the 00:09:32.799 --> 00:09:35.059 first place. This is the real story of silver. 00:09:35.139 --> 00:09:38.379 It has this crucial dual role. Gold is, you know, 00:09:38.759 --> 00:09:41.600 is primarily monetary, but silver is both monetary 00:09:41.600 --> 00:09:44.019 and profoundly industrial. And its industrial 00:09:44.019 --> 00:09:47.360 demand isn't just strong. It's essential. It's 00:09:47.360 --> 00:09:49.960 non -substitutable in a lot of high tech applications. 00:09:50.340 --> 00:09:52.440 We always hear about its use in solar power. 00:09:52.820 --> 00:09:55.590 How significant is that really? It's massive. 00:09:56.049 --> 00:09:58.230 Silver has the highest electrical conductivity 00:09:58.230 --> 00:10:00.889 of any element, period. That makes it pretty 00:10:00.889 --> 00:10:04.250 much irreplaceable in things like solar photovoltaic 00:10:04.250 --> 00:10:07.710 or PV panels. We're talking about global commitments 00:10:07.710 --> 00:10:10.250 to renewable energy. And every standard solar 00:10:10.250 --> 00:10:13.409 panel needs about 20 grams of silver. When you 00:10:13.409 --> 00:10:15.730 project the ramp up in panel production globally 00:10:15.730 --> 00:10:18.730 through 2030, that demand curve is almost vertical. 00:10:19.110 --> 00:10:21.269 And that's not even counting the EV transition, 00:10:21.629 --> 00:10:24.110 advanced electronics. all these things that need 00:10:24.110 --> 00:10:26.309 high conductivity components. Absolutely. The 00:10:26.309 --> 00:10:28.350 industrial demand is just structurally increasing 00:10:28.350 --> 00:10:30.970 year after year. Now connect that robust demand 00:10:30.970 --> 00:10:33.409 back to the supply side. Analysts are projecting 00:10:33.409 --> 00:10:36.049 that the 2025 market deficit, meaning demand, 00:10:36.409 --> 00:10:38.830 is higher than supply will exceed 200 million 00:10:38.830 --> 00:10:41.730 ounces. A structural shortfall of over 200 million 00:10:41.730 --> 00:10:43.809 ounces. That's what really puts the squeeze on 00:10:43.809 --> 00:10:46.610 the market. How can a deficit that big even be 00:10:46.610 --> 00:10:48.889 sustained without the price just rocketing forever? 00:10:49.129 --> 00:10:51.659 Well, it comes down to mining mechanics. Unlike 00:10:51.659 --> 00:10:54.259 gold, which is often a primary metal you're digging 00:10:54.259 --> 00:10:57.500 for, about two -thirds of silver supply is a 00:10:57.500 --> 00:10:59.659 by -product. It comes out of the ground when 00:10:59.659 --> 00:11:02.179 you're mining for base metals like copper, lead, 00:11:02.340 --> 00:11:05.559 and zinc. This means that silver production inherently 00:11:05.559 --> 00:11:08.720 struggles to match these rapid surges in silver 00:11:08.720 --> 00:11:11.659 -specific demand. You can't just decide to ramp 00:11:11.659 --> 00:11:13.500 up a silver mine. You have to ramp up a copper 00:11:13.500 --> 00:11:16.909 mine first. So if the deficit is baked in by 00:11:16.909 --> 00:11:19.929 geology and consumption is skyrocketing, that 00:11:19.929 --> 00:11:22.129 explains why we've seen exchange inventories 00:11:22.129 --> 00:11:24.509 declining so much. The structural pressure is 00:11:24.509 --> 00:11:26.830 immense. And then you just layer the macro factors 00:11:26.830 --> 00:11:29.309 right back on top. Those persistent U .S. budget 00:11:29.309 --> 00:11:32.049 deficits, the inflation expectations, they continue 00:11:32.049 --> 00:11:34.590 to erode the dollar's purchasing power. That 00:11:34.590 --> 00:11:36.509 maintains the appeal of precious metals as a 00:11:36.509 --> 00:11:39.090 hedge. And silver also has this unique dynamic 00:11:39.090 --> 00:11:41.210 where it often strengthens during periods of 00:11:41.210 --> 00:11:43.289 economic uncertainty, providing that crucial 00:11:43.289 --> 00:11:45.610 safe haven function. So let's try to synthesize 00:11:45.610 --> 00:11:47.389 this, because this is really the core lesson 00:11:47.389 --> 00:11:49.730 for you, the learner, trying to navigate this 00:11:49.730 --> 00:11:52.629 market. If you came to this deep dive, curious 00:11:52.629 --> 00:11:56.049 about this $65 spike and the crash, you've now 00:11:56.049 --> 00:11:59.509 seen two powerful, very distinct forces at play. 00:11:59.679 --> 00:12:02.379 On one side, you have the physical reality, a 00:12:02.379 --> 00:12:05.419 structural industrial deficit projected to exceed 00:12:05.419 --> 00:12:09.440 200 million ounces, driven by irreversible technological 00:12:09.440 --> 00:12:12.980 demand in solar and EVs. That's the engine that 00:12:12.980 --> 00:12:15.740 drove the price up over 100 % in a year. And 00:12:15.740 --> 00:12:17.200 on the other side, you've got the derivative 00:12:17.200 --> 00:12:20.700 reality, the immediate powerful short -term impact 00:12:20.700 --> 00:12:23.740 of institutional risk management rules, the exchange 00:12:23.740 --> 00:12:26.179 jacking up margins which caused that flash retreat. 00:12:26.500 --> 00:12:29.620 It's a literal tug of war between the paper contract 00:12:29.620 --> 00:12:32.730 market and the underlying physical asset. Understanding 00:12:32.730 --> 00:12:35.250 both is crucial for anyone involved with commodities. 00:12:36.029 --> 00:12:37.629 And for those of you who want to track the fundamentals 00:12:37.629 --> 00:12:40.169 beyond the daily noise, the sources we reviewed 00:12:40.169 --> 00:12:42.370 mention resources like the World Silver Survey. 00:12:42.690 --> 00:12:44.809 They provide excellent non -speculative data 00:12:44.809 --> 00:12:47.350 on the real supply constraints. So the playbook 00:12:47.350 --> 00:12:49.990 for the modern investor seems to be, understand 00:12:49.990 --> 00:12:52.970 the deep supply issues, but always, always keep 00:12:52.970 --> 00:12:54.970 an eye on what the exchange is doing with margin 00:12:54.970 --> 00:12:57.110 requirements, because those short -term rules 00:12:57.110 --> 00:12:59.759 can be violently decisive. That's the perfect 00:12:59.759 --> 00:13:02.200 summation. Margin adjustments illustrate, with 00:13:02.200 --> 00:13:05.100 just stark clarity, how institutional rules shape 00:13:05.100 --> 00:13:07.500 prices just as much as broad economic forces. 00:13:08.059 --> 00:13:09.740 So here's a final provocative thought for you 00:13:09.740 --> 00:13:12.000 to chew on. Given that the structural deficit 00:13:12.000 --> 00:13:14.159 is projected to be immense, over 200 million 00:13:14.159 --> 00:13:17.019 ounces, and the physical supply chain is so strained, 00:13:17.399 --> 00:13:19.720 how long can this highly leveraged paper market 00:13:19.720 --> 00:13:22.940 keep a lid on the physical price? Before tangible 00:13:22.940 --> 00:13:25.120 scarcity, the simple inability to get your hands 00:13:25.120 --> 00:13:27.820 on the metal dictates the next massive and potentially 00:13:27.820 --> 00:13:29.159 far less reversible move.