COMEX warehouse registered silver ounces

Click on image to enlarge.

I did an accounting of silver ounces in COMEX depositories earlier <click here>.  The chart above shows a rapidly declining inventory of silver in COMEX warehouses.  With inventory running low, the multiple paper claims on each ounce of physical bullion is causing a short squeeze on silver.  Buyers are demanding physical delivery on their futures contracts, and JPMorgan is allegedly settling contracts with cash, offering premiums of up to 80% because they can't deliver the physical bullion.  To me, when a seller cannot deliver physical inventory, that is technically a default.

JPMorgan's vaults are empty, hence, they are naked shorting silver.  I've believed and blogged this for several years, and it's getting increasingly difficult to argue against this contention.