Silver Wheaton and Silvercorp Face Dropping DemandA noticeable drop in worldwide manufacturing data has led to concerns regarding industrial demand for silver. The global manufacturing purchasing managers index released by JPMorgan and Markit, a closely watched indicator of world manufacturing output, fell from 50.7 in July to 50.1 in August, and is now only a small fraction above the level of 50 that is traditionally taken to mean contraction.
In other news JP Morgan reports that COMEX registered silver inventories increased to 500 million ounces overnight...ending all worries of a silver shortage. LOL.
We warned readers that the cartel would act more and more like a caged animal as the silver manipulation nears its final end.
Too bad for JP Morgan that silver is also a monetary metal, not simply a base commodity, and that safe haven currency flows into silver by investors will more than make up for any decrease in industrial demand.