Gene Arensberg: Silver is strong mainly because it's remonetizing

Section:

10:40a ET Wednesday, October 27, 2010

Dear Friend of GATA and Gold (and Silver):

The Got Gold Report's Gene Arensberg writes today that he's all for fairer rules in futures trading and less privilege for those who designate themselves "bona-fide hedgers" but he doesn't think that investigation of the silver market by the U.S. Commodity Futures Trading Commission is the underlying reason for silver's recent price strength. Arensberg writes:

"We believe there is a tectonic shift under way for silver -- a shift of historic and generational proportions that is only just now starting to surface in a material way. We believe that global public demand for precious silver is once again returning the metal to its historic role as money -- alongside its rarer cousin gold. We believe that the recent absence of concerted short selling is more likely a logical market reaction by hedgers and short sellers to the reality of much higher demand and the realization that existing and available supplies may not be sufficient to satisfy that burgeoning demand at current pricing."

Arensberg's commentary is headlined "CFTC's Chilton Probably Not Why Silver Strong" and you can find it at the Got Gold Report here:

http://www.gotgoldreport.com/2010/10/cftcs-chilton-probably-not-why-silv...

Or try this abbreviated link:

http://tinyurl.com/24oakjm

CHRIS POWELL, Secretary/Treasurer
Gold Anti-Trust Action Committee Inc.



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