GME, Hedge Funds, Citadel and Reddit

[Just Jack]

12 hours ago, Just Joshin said:

Once those positions are cleared, this is investing on momentum.  That is a valid strategy but long term this is not a $300 stock based on fundamentals.  It is turning into a pump and dump where the last one in loses the most.  This is gambling, not investing.

 

I've been reading some of the WSB posts. People on their are saying to hold onto GME cause it's going to hit $1K/share.  And I'm thinking it won't go much more than where it is now, in the $300/share range. 

[Foxx]

[Foxx]

 

The thread on r/wallstreetbets might explain where the real sentiment lies here. It also appears that this fight might be going global.

[Nanker]

Tons of stock had to be sold by the hedgers to cover their losses. That depressed the market value of those stocks. Lots of collateral damage to investors who were in no way involved in this particular mosh pit. 

[Ann]

7 hours ago, Foxx said:

Hubby said they just ran out of stock. It happens all the time.  They sell physical coins, and they cannot price it with the futures market closed. They are not going to sell you a coin at $28 if the futures jump up Sunday night to $30.

(I am trying to get him to join here, he is resisting my efforts.)
 

[Foxx]

3 hours ago, Ann said:

Hubby said they just ran out of stock. It happens all the time.  They sell physical coins, and they cannot price it with the futures market closed. They are not going to sell you a coin at $28 if the futures jump up Sunday night to $30.

(I am trying to get him to join here, he is resisting my efforts.)
 

Yeah, I dunno. Every dealer has the same disclaimer across the top of their page, "unprecedented". Also, volume is through the roof right now.

 

 

With the talk on r/wallstreetbets and looking around the 'net, things are really unsettled right now. I know for myself, this is one temporal marker we have been waiting on for a number of years now. If it comes into fruition, no one gets out alive and I mean no one.

 

As always, with Zerohedge, one should take the articles with a grain of salt. However, interesting food for thought with everything going on all around us. 

 

"Everyone Is Afraid Ahead Of The Open" - Reddit-Raiders Spark Nationwide Physical Silver Shortage

 

Update (1100ET): For some background on just how unprecedented this weekend's action in silver markets is, Tyler Wall, the CEO of SD Bullion writes the following (emphasis ours): 

 

In the 24 hours proceeding Friday market close, SD Bullion sold nearly 10x the number of silver ounces that we normally would sell in an entire weekend leading to Sunday market open.

 

In a normal market, we normally can find at least one supplier/source willing to sell some ounces over the weekend if we exceed our long position (the number of ounces we predict we will sell over the weekend).

 

However, everyone we talk to is afraid of a gap up at Sunday night market open.

 

This is about ready to get really interesting as there was very little inventory left from suppliers/mints going into Friday close.

 

Our direct AP supplier informed us after close on Friday that the "US Mint will be on allocation for the remainder of Type 1" (Current Silver Eagle Design).

 

Our sales for the month of January exceeded any one month last year during the heart of the pandemic. It was an all-time record month in our company history. 

 

And, perhaps most importantly, as QTR tweets so succinctly, "this is a red pill moment for many, and it's beautiful."

 

...

[devnull]

2 hours ago, Ann said:

(I am trying to get him to join here, he is resisting my efforts.)
 

 

[Taro T]

5 hours ago, Foxx said:

Yeah, I dunno. Every dealer has the same disclaimer across the top of their page, "unprecedented". Also, volume is through the roof right now.

 

 

With the talk on r/wallstreetbets and looking around the 'net, things are really unsettled right now. I know for myself, this is one temporal marker we have been waiting on for a number of years now. If it comes into fruition, no one gets out alive and I mean no one.

 

As always, with Zerohedge, one should take the articles with a grain of salt. However, interesting food for thought with everything going on all around us. 

 

"Everyone Is Afraid Ahead Of The Open" - Reddit-Raiders Spark Nationwide Physical Silver Shortage

 

Update (1100ET): For some background on just how unprecedented this weekend's action in silver markets is, Tyler Wall, the CEO of SD Bullion writes the following (emphasis ours): 

 

In the 24 hours proceeding Friday market close, SD Bullion sold nearly 10x the number of silver ounces that we normally would sell in an entire weekend leading to Sunday market open.

 

In a normal market, we normally can find at least one supplier/source willing to sell some ounces over the weekend if we exceed our long position (the number of ounces we predict we will sell over the weekend).

 

However, everyone we talk to is afraid of a gap up at Sunday night market open.

 

This is about ready to get really interesting as there was very little inventory left from suppliers/mints going into Friday close.

 

Our direct AP supplier informed us after close on Friday that the "US Mint will be on allocation for the remainder of Type 1" (Current Silver Eagle Design).

 

Our sales for the month of January exceeded any one month last year during the heart of the pandemic. It was an all-time record month in our company history. 

 

And, perhaps most importantly, as QTR tweets so succinctly, "this is a red pill moment for many, and it's beautiful."

 

...

 

Kodak still have their huge stockpile of silver?  Maybe 2021 will be their year afterall.

[Chef Jim]

20 hours ago, Taro T said:

 

Kodak still have their huge stockpile of silver?  Maybe 2021 will be their year afterall.

Start propping up KODK here. Maybe we can get to $300.  We’ll all be rich. 
 

Imagine if someone here came up with the GameStop idea. 
 

Chef Jim:  Hey hear me out.  What if we all start buying GME and yadda yadda blah blah we all become rich as &#%$

 

DC Tom:  Idiot! 
 

Chef Jim: You’re right. Dumb idea. 

Edited February 1, 2021 by Chef Jim

[Nouseforaname]

3 minutes ago, Chef Jim said:

Start propping up KODK here. Maybe we can get to $300.  We’ll all be rich. 
 

Imagine if someone here came up with the GameStop idea here. 
 

Chef Jim:  Hey hear me out.  What if we all start buying GME and yadda yadda blah blah we all become rich as &#%$

 

DC Tom:  Idiot! 
 

Chef Jim: You’re right. Dumb idea. 

Lol

 

 

[Foxx]

53 minutes ago, Taro T said:

 

Kodak still have their huge stockpile of silver?  Maybe 2021 will be their year afterall.

Not sure but I'm thinkin' Fuji owns it all. Kodak is all about digital now.

[GG1]

If GME management is smart, they'll float a 10-yr retail bond through Robinhood and get rid of their bankruptcy risk in one felt swoop.   

[Foxx]

The censorship gang has to slow the feed to the (m)asses at the back of the herd.

[B-Man]

[Nouseforaname]

1 hour ago, Foxx said:

The censorship gang has to slow the feed to the (m)asses at the back of the herd.

Yeah I smell bullshit.

 

It’s on Netflix in Canada if you got a vpn lol

[B-Man]

 

 

 

 

 

 

[Foxx]

From APMEX last night/early this morning.

 

To our valued customers, APMEX Statement On Current Market Conditions: In the last week, we have seen a dramatic shift in Silver demand from our customers. For example, the ratio of ounces sold per day was running about two times earlier in the week and closer to four times the average demand by the end of the week. Once markets closed on Friday, we saw demand hit as much as six times a typical business day and more than 12 times a normal weekend day. Combined with the extremely high demand levels, we are also seeing a surge in new customers. On Saturday alone, we added as many new customers as we usually add in a week.  Any Precious Metal dealer will take a long position in the futures market to protect against spot price exposure when the markets open. We do this because it is our goal not to take a speculative position on metal. The weekends are unique as we are not able to real-time hedge our position. We took an aggressive position this weekend, but clearly could not have predicted the volumes that were seen. We have partnerships around to world that allowed us to cover these long positions, but only to a point. Once we exceeded our comfort levels, we had little choice but to stop the sale of Silver on our website. This was a difficult decision to make and unprecedented in our history.  As we evaluate the markets, it is difficult to know where Silver's price and demand will go in the coming day and weeks. APMEX is highly capitalized and has more than $150 million in inventory to support demand. We have made strategic decisions to procure additional metal, locking up any metal we can find in the market place. We suspect premiums will rise and rise quickly, as we are seeing significant increases in our costs, when we can even locate the metal. It is also highly likely that we will need an additional day or two to fill orders based on current order counts. The one guarantee we can make to our customers is that you will only be sold metal that is on-site, or we have procured the metal with a firm commitment date from our partners. In markets like this, we feel this is the best approach a retailer can take, as no one can predict product availability. We want to thank our customers for their patience and understanding during these turbulent times. APMEX prides itself on best in class service and delivering on promises to our customers. Sincerely, Ken Lewis CEO, APMEX

[The_Dude]

I don’t know nothin about no markets. But I’m buying $500 worth of AMC at market open. If I lose it, it’s just spilt milk. 

[plenzmd1]

2 hours ago, Foxx said:

From APMEX last night/early this morning.

 

To our valued customers, APMEX Statement On Current Market Conditions: In the last week, we have seen a dramatic shift in Silver demand from our customers. For example, the ratio of ounces sold per day was running about two times earlier in the week and closer to four times the average demand by the end of the week. Once markets closed on Friday, we saw demand hit as much as six times a typical business day and more than 12 times a normal weekend day. Combined with the extremely high demand levels, we are also seeing a surge in new customers. On Saturday alone, we added as many new customers as we usually add in a week.  Any Precious Metal dealer will take a long position in the futures market to protect against spot price exposure when the markets open. We do this because it is our goal not to take a speculative position on metal. The weekends are unique as we are not able to real-time hedge our position. We took an aggressive position this weekend, but clearly could not have predicted the volumes that were seen. We have partnerships around to world that allowed us to cover these long positions, but only to a point. Once we exceeded our comfort levels, we had little choice but to stop the sale of Silver on our website. This was a difficult decision to make and unprecedented in our history.  As we evaluate the markets, it is difficult to know where Silver's price and demand will go in the coming day and weeks. APMEX is highly capitalized and has more than $150 million in inventory to support demand. We have made strategic decisions to procure additional metal, locking up any metal we can find in the market place. We suspect premiums will rise and rise quickly, as we are seeing significant increases in our costs, when we can even locate the metal. It is also highly likely that we will need an additional day or two to fill orders based on current order counts. The one guarantee we can make to our customers is that you will only be sold metal that is on-site, or we have procured the metal with a firm commitment date from our partners. In markets like this, we feel this is the best approach a retailer can take, as no one can predict product availability. We want to thank our customers for their patience and understanding during these turbulent times. APMEX prides itself on best in class service and delivering on promises to our customers. Sincerely, Ken Lewis CEO, APMEX

so, you helped educate me on Bitcoin years back...care to explain what this letter means? Thank you kind sir!

 

 

[Foxx]

15 minutes ago, plenzmd1 said:

so, you helped educate me on Bitcoin years back...care to explain what this letter means? Thank you kind sir!

 

 

As the letter states, the demand for physical Ag is unprecedented.

 

It means that there is a scare in the financial world. With everything that went on last week with GME and the talk of a potential run on Ag, no one quite knows what to expect when the markets open in about 20 here. If the demand of phys continues, it will ultimately have ripple effects throughout the paper markets.

 

Paper silver is probably the largest short on the planet.