HSBC has quietly moved into acquiring large amounts of silver bullion..
The
bank has secured another deal to buy silver bars from KGHM which brings
their total purchases of silver from KGHM alone in the last 12 months
to $876 million or PLN 3.65 billion..
KGHM is one of the largest producers of silver in the world and is the second-largest producer of refined silver in the world..
They
produce silver bars registered under the brand KGHM HG that are
attested to by "Good Delivery" certificates issued by the London Bullion
Market Association and the Dubai Multi Commodities Centre..
Listed
metals producer KGHM signed an estimated PLN 1.67 billion deal on 2013
sales of silver to HSBC, KGHM said in a market filing yesterday..
The
deal puts the total value of deals between KGHM and HSBC in the last 12
months to PLN 3.65 billion or $876 million, the filing read..
The
Management Board of KGHM announced that on 21 January 2013 a contract
was entered into between KGHM and HSBC Bank USA N.A., London Branch for
silver sales in 2013..
The estimated value of the contract is PLN
1,672,260,469.66. As a result of entering into this contract, the total
estimated value of contracts entered into between KGHM and HSBC Bank USA
N.A., London Branch over the last 12 months exceeded 10% of the equity
of the Company and amounts to PLN 3,654,120,061.59..
The
highest-value contract signed during this period is the above-mentioned
contract. The criteria used for describing the contract as significant
is that the total estimated value of the contracts exceeds 10% of the
equity of KGHM..
KGHM is one of the largest companies in Poland and one of the largest mining & metallurgy companies in the world..
The
main customers of Polish silver in recent years have been the United
Kingdom, Germany and Belgium. HSBC appears to be one of their main
customers now..
Respected and erudite, James Steel, the chief
commodity analyst at HSBC Securities (USA) Inc. continues to be bullish
on silver and recently said how "silver tends to track gold, except it
over performs in a bull market" and how he was "moderately bullish on
silver" in 2013..
HSBC did not comment on the deal and it only came
to light as KGHM is a listed company and had to report the deal which
was then picked up in Polish media..
The massive deal could simply be HSBC securing supply for the NYSE listed ETFS Physical Silver as they are the custodian..
Or
it could be that HSBC's senior banksters are concerned about securing
supply as they expect robust investment demand to continue and possibly
increase resulting in higher prices too...
MAKE SURE YOU GET PHYSICAL SILVER IN YOUR OWN POSSESSION. Don't Buy SLV, or Futures or Pooled Accounts or any other BS paper silver product .Remember anything on paper is worth the paper it is written on. Go Long Stay long the bull market have even started yet