Silver's Open Interest Declines Another 550 Contracts to 100,552

Silver's open interest declined again today, even as price soared nearly 5%.  Another similar decline tomorrow and we will see open interest fall below 100,000.
Silver backwardation remains nearly unchanged, with silver trading in contango from front months through the March 2013 contract. 
Backwardation in silver begins with the May 13 contract, and widens out to a $1.141 (3.6%) discount for the July 2016 contract compared to front month.

Daily Settlements for Silver Futures (PRELIMINARY) Trade Date: 10/06/2011
Month	Open	High	Low	Last	Change	Settle	Estimated Volume	Prior Day Open Interest
OCT 11	30.340	30.465	30.340	-	+1.653	31.970	5	143
NOV 11	30.430	31.595	30.290	-	+1.653	31.984	25	72
DEC 11	30.510	31.940	30.240	-	+1.653	32.005	45,304	61,157
JAN 12	30.695	31.705	30.695	-	+1.653	32.024	18	195
MAR 12	30.385	31.870	30.385	-	+1.654	32.044	3,842	9,446
MAY 12	31.365	31.540B	31.090A	-	+1.654	32.062	189	2,829
JLY 12	30.900	30.900	30.900	-	+1.654	32.070	72	2,355
SEP 12	31.500	31.670	31.500	-	+1.656	32.055	6	874
DEC 12	30.735	31.550	30.735	-	+1.656	32.038	160	10,345
JAN 13	-	-	-	-	+1.657	32.018	-	1
MAR 13	-	-	-	-	+1.660	31.976	-	751
MAY 13	Silver-	Enters -	Backwardation-	Here-	+1.663	31.934	5	135
JLY 13	-	-	-	-	+1.666	31.892	38	2,219
DEC 13	31.250	31.255	31.215	-	+1.666	31.784	14	7,752
JLY 14	-	-	-	-	+1.676	31.624	-	259
DEC 14	30.670	30.670	30.670	-	+1.676	31.504	35	1,286
JLY 15	-	-	-	-	+1.676	31.250	10	175
DEC 15	29.850	30.175	29.850	-	+1.676	31.054	4	533
JLY 16	-	-	-	-	+1.676	30.829	-	25
Total							49,727	100,552