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 and what's interesting is to see that we'll call it the industrial or institutional side so it's either the large industry Andor institutional investing you're watching silver News Daily subscribe for more silver is on the edge of a seismic event one that could change the entire Financial landscape for years experts have warned about Supply constraints but now the Tipping Point has arrived David Morgan one of the most respected names in the silver market has issued a dire warning

a Monumental silver Supply shock is imminent physical shortages are worsening industrial demand is exploding and Retail investors are at risk of being priced out completely think about it silver isn't just a monetary metal it's a critical component of modern technology solar panels electric vehicles many medical devices 5G infrastructure silver is the backbone of the future economy yet the world's Supply is drinking fast mining output is struggling to keep up above ground stock piles are being drained and institutions

are quietly accumulating while the average investor remains in the dark the silver market is moving at a speed few are prepared for prices are already climbing and once the reality of this Supply crunch hits it may be too late to secure physical silver at any reasonable price could we be standing at the beginning of the biggest silver rally in modern history stay with me because what's happening right now could change everything you thought you knew about this Market well we've had a great run

last year 2024 as you just said and then which has certainly spilled over into 2025 so far halfway through the month of February and I thought I was pretty accurate um in 2024 I predicted about a 30% move in both medals and that's approximately what we got round numbers this year I kind of expect the same thing long term so you know 30% on top of uh you know whatever number you choose uh at the end of the year for gold or silver and and you can take those numbers pretty much my forast so like 40 in silver as an example I don't

think it's going to trade it 40 and above you know for half the year I think we may see that print a few times but coming back to your question so far so good strength but I actually think uh we're overbought in gold and all the sentiment is bullish and I'm certainly thinking higher prices as I just stated but for the record I think we could get a pullback here fairly soon the reason for that is sentiment technicals and also there's a propensity in all the Futures markets in all the Commodities

to resist round numbers and the round number for gold is 3,000 USD I know we're in 4,000 and Beyond in Canadian dollars and many of the currencies were at all-time Highs but the dollar is the market that's watched by most and that number of 3,000 may not be breached the first time through it could but I wouldn't be surprised to see a little bit of cooling off really all the good news is sort of out out there I mean as we discussed last time we talked about you know what's going on in London

markets with fear of the tariffs and then that spiled over in repatriation of gold how much gold was moved from London into New York and so so that's where I'm at you know I'm I can be a contrarian within the contrarian community at times and I guess that's where I am right now for years the silver market has been quietly approaching a crisis and now the cracks are turning into fractures the signs have been there declining mining production Vanishing stockpiles and surging demand but the

mainstream Financial world has largely ignored them why because silver has always been treated as a second tier asset overshadowed by gold and dismissed as just another commodity but that's about to change in a big way the reality is this silver is running out according to multiple industry reports Global silver production has been struggling to keep Pace with demand for years and the deficits are only getting worse we've now entered a period where the world is consuming more silver than it can produce above ground

stockpiles the reserves that have historically acted as a buffer are rapidly depleting with major refiners and suppliers reporting historic lows in available inventory this isn't just a temporary blip it's a structural shift mines are shutting down due to declining or grades and Rising costs and new discoveries simply aren't coming online fast enough to fill the Gap silver isn't like gold it's mined primarily as a byproduct of other metals like copper and zinc which means that even if silver

prices Skyrocket mining output won't suddenly surge to meet Demand yet despite all of this silver prices have remained artificially suppressed until now the supply chain is tightened and the moment industrial users realize just how severe the shortage is there won't be enough silver left for retail investors and when that Tipping Point is reached silver prices won't just rise they'll explode yeah you really said it a l you'll just elaborate a bit so there's really two markets R say the silver

market or the gold market I'm talking about the derivatives Market which is the price Set uh by the comx and even though it's a price of a derivative all of the prices gear off of that price so in the retail Market that's a separate Market from the Futures markets and that market which is substantive does not set the price in the Futures Arena the Futures Arena sets the price in the in the retail market so if the retail Market is very tight then you will see huge premiums like we saw not that long

ago I mean miles Franklin and on all the dealers were selling you know silver eagles and I think at one time like a $14 premium or something because that particular Market was extremely tight lots more buying than selling now we have the opposite most of the retail Market you and I it's the stackers it's you know individuals that buy silver and gold have basically got all they want or they've got to pay a bill or they've given up or any combination of reasons and they're being net sellers basically

and there aren't much buying in that that realm on the other hand when you look at the derivatives Market which usually isn't used as a delivery mechanism it has been you've been seeing silver moving out of the SLV as an example silver moving again from you know London New York and then delivery taken out of New York we've seen a lot of movement of physical in that market meaning thousand ounce commercial bar Market in silver and the kilo bar 100 ounce bar Market in uh in New York and

and and London usually has 400 ounce bars which could be converted to 100 ounce bars so regardless it's something that's very different most the time we're talking we're really even though we use the word silver we're talking about the retail silver market but really I mean at all times the derivatives Market same thing with gold and this is the the distinction between the two and what's interesting is to see that we'll call it the industrial or institutional side so

it's either the large industry Andor institutional investing is driving the market and that's really the purpose of the Futures Market uh so you really had a place that's kind of where it started out meaning that instead of the tail wagging the do silver isn't just a precious metal it's an industrial necessity and right now industrial demand is accelerating at a rate the market simply isn't prepared for the world is moving toward a future dominated by Green energy advanced

technology and electrification and silver sits at the center of it all unlike gold which is mostly hoarded by investors and central banks silver is constantly being consumed often in ways that make it impossible to recover let's talk numbers the solar industry alone accounted for nearly 140 million ounces of silver demand last year a number that's only expected to climb governments around the world are pouring billions into renewable eny energy projects and solar panel production is surging the problem each

panel requires silver and there are no viable substitutes AS Global energy policies push toward Net Zero carbon emissions demand for silver and solar technology is set to Skyrocket and it's not just solar the electric vehicle Revolution is in full swing with automakers committing to full electrification within the next decade silver is embedded in every EV from battery connections to charging stations and demand from this sector alone is forecasted to explode add in 5G networks medical technology and AI driven

Computing and you start to see the bigger picture industrial demand is climbing exponentially and the supply simply isn't there to match it this is where the crisis deepens unlike gold which is rarely lost after being refined silver is used in products that are often discarded with little to no effort made to recover it this means that once silver is consumed it's gone and with more silver being devoured by industry every year the question isn't just whether there will be enough for

investors it's whether there will be enough for industry itself at some point industrial users are going to wake up to this reality and when they do they won't be waiting for silver to trickle down through the normal Supply chains they'll be racing to secure as much of it as possible when that moment arrives the retail Market could be locked out completely and Silver's price could erupt in ways few are prepared for silver has been disappoint voiding I mean you know if we look no further than

the gold silver ratio that tells us the story and because gold has made so many nomal new highs and silver has not and the gold silver ratio is well above 80 uh that's just suggesting that you know Silver's lagging and it is I think it's uh not only has it underperformed say maybe last year where it's been a little bit better than gold I do think it'll catch up I mean it's not untypical for silver to fall uh behind let's say Gold's lead and all of a sudden it takes off and it

definitely catches up and overpowers gold on a percentage basis that's what I do think will happen I'm not sure it'll actually happen this year although it could I I do think that this year silver will outperform gold but not in a real substantive way so for example if we got the gold silver ratio to 70 this year from you know well above 80 right now I would consider that a win I started the silver investor website and you know we branded a Morgan report uh many many years ago but at the time I started the

first website the gold Sil ratio is about 80 even and really Elijah at that time I thought that would be the highest gold silver ratio that I would see from the year 1999 1998 when started the website until present obviously I would have been wrong uh we've seen well over that not only recently with gold making new Highs but you go back to when the illness broke out in March of 2020 and we saw really for my records and many others uh probably the all-time high gold silver ratio which is over 125 to

one it didn't last very long it was a spike I actually was lucky enough to buy silver within a few days of that actual High gold silver ratio meaning you were getting you know a lot of silver for your gold were swappy and wore a lot of silver for your for your Fiat at the time point I'm making is no one knows more than the market but even though it looks rather Bleak and I'm disappointed as many silver investors the game isn't over the you know end game isn't here and silver is a very tight and very

small market and it's able to move up and down faster than the gold market so I probably said enough but I do think that if you're disappointed it wouldn't be the time to sell now I think uh going forward silver from this point forward will outperform go maybe not on a daily basis or even a weekly basis but on a monthly basis and on the broad Market basis wherever we end up on the the highs of these markets in terms of US dollars I think once that's achieved you can see a gold silver ratio probably at

least about 30 to1 the reason I say that is that we've already been to 33 to1 gold silver ratio when we had the financial crisis in 2008 and silver got below $9 and it went up 550% went from under nine to roughly $50 gold did a little better in a double if I recall correctly so silver certainly outperformed gold in that move and I think we're going to controlled and suppressed but that suppression is now reaching a Breaking Point at the heart of this lies the silver Futures Market where massive

short positions have artificially kept prices lower than where supply and demand should dictate but what happens when the physical Market tightens so much that those paper contracts can no longer be covered a short squeeze of historic proportions to understand the scale of this potential squeeze we need to look at the silver Futures Market itself large financial institutions particularly a handful of major banks have built up massive short positions in silver betting that prices will stay low these shorts act as a tool to suppress

price action discouraging investors and keeping industrial users from panicking about Supply constraints but here's where it gets dangerous for these short sellers when physical silver inventories run dry they'll be forced to deliver metal they simply don't have normally they can kick the can down the road rolling over contracts are settling in cash but if the industrial sector starts competing with investors for physical silver that entire game unravels the moment a major institution

gets caught in a short squeeze forced to buy silver at any price to cover its obligations the flood gates will open and history proves just how violent a silver short squeeze can be in 1980 when the Hunt Brothers attempted to Corner the silver market prices spiked from under $6 to nearly $50 in just a few months in 2011 when silver started breaking free from manipulation it surged from $9 to almost 50 again but this time the setup is even more extreme the supply shortages are deeper the demand is

higher and the short positions are even larger the moment the physical Market exposes the weakness of paper silver the price suppression will break and when it does silver won't just climb it could go vertical in institions that spent years betting against silver will be scrambling to get their hands on real medal and when that happens we could witness one of the most explosive price surges in history well both I think this tariffs is definitely what started the the run to gold and there's an Arbitrage

opportunity where you have a differential between London and New York so if you're going to cover your short and you have fiscal medal there uh we have to have it chipped in order to accomplish that and that's what's been taking place will we get a big roll over in the subsequent months um yeah I think we will we've seen this happen a few times before not to this level at least to my recollection but usually everyone gets very excited everybody gets on one side of the boat and then as the days

and weeks Roll by um it subsides uh I think that's probably the most likely case but it's yet to be determined further the gold markets is a much more vast Market than the silver Market it's deeper and you've got a lot of Central Bank holdings so let's say for an example or as a thought experiment there was a bullan bank that was uh behind the eightball so to speak and they needed a delivery it wouldn't be surprised in it all to see a swap take place with the Central Bank take the physical gold put

it into place so there's no you know problems and then that swap will later be paid back either in paper or metal itself I'm not saying that that's a given but it's certainly happened in the past and certainly happen in the future because again gold market is pretty deep uh you have a better opportunity for that to take place than you would in the silver market but regardless both of those uh markets do have let's say a tightnit community that um can work together at times the gold to Silver ratio is one of

the most overlooked yet powerful indicators of Silver's future price action and right now it's flashing a signal that could mean an explosive move is coming historically whenever this ratio reaches extreme levels silver follows with a massive price Surge and today we're sitting at one of the most extreme readings in decades let's break it down the gold to Silver ratio simply measures how many ounces of silver it takes to buy 1 ounce of gold for most of History this ratio has hovered between

15.1 and 40.1 meaning silver has historically been priced much closer to Gold but but in recent years that ratio has been stretched beyond anything we've seen before climbing as high as 80.1 90.1 and even over 101 at certain points what does this tell us when the ratio reaches these extreme levels it's a sign that silver is severely undervalued relative to gold and every time in history that the ratio has collapsed silver has gone on to deliver massive gains in the early 1980s when silver rocketed to 50s the

gold to Silver ratio plunged from 40 .1 to nearly 15.1 in 2011 when silver surged past 40 NOS again the ratio collapsed from over 80.1 to below 351 and today we're sitting at one of the highest ratios in history signaling that silver is once again poised for a major revaluation the setup is undeniable gold has already confirmed its secular bull market breaking all-time highs and historically silver lags before making its move once the market catches on once in investors realize that silver is

trading at a fraction of its real value we could see a rapid repricing that sends silver to new all-time highs the gold to Silver ratio isn't just a number on a chart it's a warning sign for those paying attention every time this ratio has hit extremes silver has responded with a surge that left most investors in disbelief the question is will you be ahead of the move or will you be chasing it when it's too late absolutely let's add on to that I mean this is getting into the newa but I think it's important

to know I mean I did one too where I actually got more for a kilo bar than I would have for coins that's insane it takes a lot more energy power time and energy produce a 1 ounce coin than a kilo bar and yet under these circumstances similar to what you just said so if you're very tun in market and you know I don't talk to Andy all that often anymore but I do talk to several dealers on a weekly basis and these are opportunities that if you're so inclined you want to take advantage of I mean you

can get a semi rare you know 1933 gold coin for the same as a gold wafer why not I mean you know I'm not saying to swap all your gold Wafers for you know earlier gold coins but certainly worth considering because the premiums usually stabilize when they get out of whack like they are now that's the time to take action and when I go back into normal premiums those 1933 coins will have a larger premium than than it go away from it's just a market gets these distortions as we're discussing the

other one real quick is the bag Market I mean usually a junk bag or constitutional silver sells at melt or slight discount that's what you can buy it for in many cases but in certain instances where people are really worried about the barter value of silver such as Y2K for example yeah I think a 40% PR premium on bags and that's where you should swap your bags into silver bars for example so these anomalies do come up within the market itself that you can take advantage of retail investors are walking straight into a

trap and most don't even realize it the silver market is tightening at an unprecedented Pace but by the time the average investor wakes up to what's happening it may already be too late the reality is this small investors are at serious risk of being priced out completely as institutions and Industrial users rush to secure physical silver here's why the silver market operates on two levels the paper Market where contracts are traded back and forth with no real metal changing hands and the physical Market where real

silver bars coins and rounds are bought and sold for years the paper Market has dominated keeping prices artificially low but when Supply tightens the physical Market starts to take control and that's exactly what we're seeing now premiums on physical silver are already skyrocketing even when the spot price appears stable retail investors are paying record high premiums just to get their hands on Silver and this is just the beginning once industrial users realize they can't secure the silver

they need they'll move aggressively into the physical Market sweeping up whatever inventory is left at that point premiums won't just be High they'll be Out Of Reach for the average investor and we've seen this play out before in early 2021 when the silver squeeze movement took off premiums exploded physical silver disappeared from dealer shelves and anyone who hesitated found themselves paying 50% even 100% over spot price that was just a taste of what's coming this time it won't be a temporary

squeeze it will be a systemic shortage and once it hits small investors will have no way in by the time Silver's price truly reflects its scarcity most investors will be watching from the sidelines unable to buy at any reasonable price the question isn't just whether silver will go up it's whether you'll even be able to get any when it does yeah there if you've never exposed yourself to having you know M physical metal there's never a wrong time to buy really there isn't because it's money of

Last Resort and if there were there's so many scenarios and they're all rather Bleak but they're all fairly realistic you know if you have a power outage if you have a food shortage if you want to go to farmers's market or whatever silver is the money of Last Resort as far as the people are concerned you could use it as money or as a barter item if you want to Fig it in those terms and there's a certain amount that's kind of right for everybody but you certainly don't need to put your

life savings in the precious metals on the other hand if you don't have any you're kind of not covering all your bases you're not really prepared for a financial situation it wouldn't necessarily mean Bank closures or the gold market freezes up or if you're along those lines something more of like you know maybe a weather event that we've seen several of in this country and around the world so something I think everyone should own a little and that's the the mountain little is an

individual Choice um you know one silver coin probably is going to do a lot for you uh but you know she have to kind of use your some common sense so I think that's step point if you don't have any you certainly want to consider it now no matter matter what the price if you're already in the market then I think just you know if you have enough Holdings all you need to do and then if there's a a shift in the premiums you might take a look at it and if you're fairly sophisticated you might

look at the gold silver ratio say wait a minute I've been a gold bug the whole time with silver so valued maybe I'm going to swap some of this gold into silver you know that type of thing but it's again individual Choice there isn't one size fits all guidance I gave you is pretty sound basically comments while retail investors hesitate the biggest players in the financial world are making their move central banks governments and billionaire investors aren't waiting for silver to explode

they're accumulating now quietly pulling Supply off the market while the average investor remains distracted by the time most people realize what's happening the game will already be over for years central banks have been hoarding gold but here's what they won't tell you silver is just as critical historically governments have used silver as real money and with global currencies weakening the demand for hard assets is only increasing some of the biggest Sovereign wealth funds and institutions are now acquiring

silver yet they're doing it in a way that avoids attracting attention then there are the billionaires unlike retail investors they aren't buying silver coins or small bars they're purchasing entire vaults worth of metal securing their positions before the masses catch on some of the world's wealthiest investors from hedge fund managers to Industrial tycoons have been shifting Capital into silver seeing the same Supply crunch that's about to unfold but here's the key when central

banks and billionaires buy silver they don't sell it back into the market this isn't like stocks or crypto where a quick profit is the goal they're acquiring silver for protection for wealth preservation and in some cases for strategic industrial use that means the available Supply isn't just shrinking it's disappearing completely this leaves the average investor in a dangerous position when silver truly breaks out it won't be because retail Traders suddenly start buying it will be

because the institutions have already taken control of the market and when that moment comes the retail crowd won't be getting in at today's prices they'll be fighting over what little remains at prices most never thought possible uh well I would take a deep breath and go back to what I said on the last previous question that I've seen this before and usually as we get closer and closer and we get more and more you know interested in what's going to take place usually blows over and goes back

into a normal configuration thin watch for is very easy to spot and that is the spot Market the cash on demand market so basically what happens when you need a a commodity like wheat or corn or silver and you need it now then we get what's called back radation so if Silver's at $32 the ounce if you have to have it like tomorrow the price could be 3350 for example and then the next month out it would be at 33 which in is inverse to cango you all Commodities go in Kango which simply means basically

it's usually like the 10e rate so whatever that interest rate is is applied in the following months so year out it's you know 6% % higher that's general rule of thumb the point being is a Futures Contract costs more further out in time that you go but if you need it really badly it goes backward meaning you pay more now than you do in the future so that becomes a cash Market the spot Market I need it on this spot now so if that were to occur and it happened for one day that's a big deal two days

no big deal three days no big deal but if it went for let's say two or three weeks in a row now now the market has really turned into a cash Market only the Futures Market certainly would have some power it would have some meaning it would probably be used for hedging but it be it would turn into basically a cash Market if I need this metal now and I'm paying cash on the barrel head now I need delivery now that would be the price that be setting the standard from that point until it ended and almost all

Commodities whenever that's taking place it only lasts for a short amount of time the amount of the commodity be it's soybean oil or wheat or silver subsides once the demand that's more than normal is satisfied then we go back into contango uh the months go the backwardation ends and things go on as normal but that's the thing to watch that would be the absolute proof that we've the market has distorted so I mean well the market is recognizing that silver for the delivery right now is extremely hard to find and

because of that you have to pay a premium again I do think that at some point and I've said it for years and years that there would be a point where the physical Market takes precedence over all the derivatives markets and certainly in a small scale that is what's happening but I'd call it a small scale because we just haven't seen it not so much in quantity because quantity's moved out of London been rather substantive but not in time duration or the back radation that I'm

referring to in a way that's absolutely crystal clear it's not not yet with all of these forces colliding historic shortages industrial demand surging short sellers on the brink and billionaires accumulating one question remains how high can silver actually go while no one can predict the exact Peak history and Market fundamentals give us a clear picture of where silver prices could be headed let's start with the conservative estimates based on the trajectory of past silver bull markets

analysts predict silver could reach 49 by 2025 consolidate around 50 in 2026 and then push towards 7 by 2027 by 2030 some projections Place Silver at $82 per ounce but these estimates don't factor in the full extent of the coming Supply crunch or the potential for a financial Panic that sends investors rushing into hard assets now let's talk about the aggressive scenarios if silver follows the same explosive pattern it did in 1980 and 2011 a move Beyond $100 per ounce isn't just possible it's entirely plausible

some experts argue that when adjusted for inflation Silver's true peak in today's dollars would be closer to 150 and if a true Supply crisis emerges where industrial users and investors compete for dwindling physical metal Silver could go even higher but here's the part most people don't understand Silver's price isn't just about supply and demand it's about confidence in the financial system if investors lose trust in paper money if inflation spirals out of control if central banks continue to

devalue Fiat currencies silver becomes more than a commodity it becomes real money and when that shift happens traditional price targets go out the window the window to act is closing fast if silver breaks through key resistance levels $30 then 50 it could trigger a buying frenzy unlike anything we've seen before those waiting for confirmation might find themselves chasing silver at prices they never imagined possible the question is will you be positioned before the breakout or will you be

scrambling when it's already too late OD and the derivatives price determining how much silver es and flows we're in a position now with the actual physical Market at least greater than normal is setting the price out there and that's why you're seeing this Arbitrage opportunity and potential for back ration where you have to pay more at spot price at today's price than you would in the near Futures because it's demanded right now and so it's very interesting to watch this unfold Elijah

because that's the true market and if that market were to break then it would be most interesting to see what the authority figures would actually do technically and for the record you can never fault on the comx the reason being is the contract says that a cash settlement is final settlement so for an example someone stood for delivery and they were given a check and set of metal you know thousand ounce bars there's nothing you can do about it you've already agreed when you signed your

Futures Contract be you you know a Speculator or a large institution regardless of the same contract the same rules apply and you couldn't whine and cry or do much about it you might post it on the we and say I wanted to stand for delivery but I got to check instead but if you know how the market works and what the rules are you kind of have to blow it off and say well you're the one that knows you're going to get paid one way or the other uh and then and that's that's it now there are I wouldn't say

there's exceptions to that but if someone demanded delivery through a Refinery for example which is a hard contract for physical and physical only that was outside of the Futures Market could be either the over-the-counter Market that's opaque and no one really knows about it I they know about it but we don't really know all the details or the KX which is very transparent at least it publish all the numbers whether you believe them or not they're published and that market you can make a

determination based on a non- delivery for example the silver Supply shock isn't some distant possibility it's unfolding right now the cracks are already visible shortages are worsening industrial demand is accelerating short sellers are on borrowed time and the biggest players in finance are quietly locking up Supply everything points to one inevitable conclusion when silver finally breaks free it won't be a gradual rise it will be a historic eruption leaving unprepared investors scrambling retail investors who hesitate

risk being priced out completely we've seen this story before once silver moves it moves fast and those sitting on the sidelines will be watching as premiums soar and physical silver disappears from the market while mainstream media ignores the crisis those paying attention know what's coming the financial world is Shifting and silver is about to play a leading role the choice is clear prepare now or risk missing one of the most explosive moves in Silver's history and as always this

is not Financial advice do your own research consult a professional and make informed decisions the silver market is waking up the only question left is will you be ready