Posted by Francis Koh on 05 Sep 2015

THE END GAME: Central Bank Precious Metals Supply Evaporates

Precious Metals by SRSrocco

When we talk about Central Bank precious metal sales, most investors think of gold.  However, Central Banks supplied a great deal of silver into the market over the past 50+ years.  The United States was the world’s “Silver Sugar Daddy” during the 1960’s.  I am putting together THE SILVER MARKET REPORT explaining this in detail.

As the U.S. Government depleted the last of its stocks of silver in the 1990’s, China, India and Russia supplemented the market over the past decade.  This chart below, is from my THE SILVER CHART REPORT showing the Net Government Silver Sales since 2003:

Net Government Silver Sales 2003-2014 new  Central Bank Precious Mettals Sales  Central Bank Official Gold Net Purchases NEW

From 2003 to 2013, these three governments (mostly China) sold a total of 454.2 million oz (Moz) of silver into the market.  As we can see, net government silver sales were the highest from 2003 to 2006, continued to decline until 2013, and then dropped to zero by 2014.