{"id":62673,"date":"2025-12-06T12:12:50","date_gmt":"2025-12-06T01:12:50","guid":{"rendered":"https:\/\/www.tomgrimshaw.com\/tomsblog\/?p=62673"},"modified":"2025-12-06T12:12:50","modified_gmt":"2025-12-06T01:12:50","slug":"clear-that-something-behind-the-scenes-is-breaking-holter-warns-were-headed-for-a-derivative-meltdown","status":"publish","type":"post","link":"https:\/\/www.tomgrimshaw.com\/tomsblog\/?p=62673","title":{"rendered":"Clear That ‘Something Behind The Scenes Is Breaking’ Holter Warns, We’re Headed For A Derivative Meltdown"},"content":{"rendered":"

Financial writer and precious metals expert Bill Holter (aka Mr. Gold) said at the beginning of November that there was\u00a0\u201cmore risk in the financial system now than any time ever.\u201d\u00a0<\/a>\u00a0<\/strong><\/em><\/p>\n

There are so many ways the system can break down it\u2019s hard to keep track, but let\u2019s start with exploding silver prices that happened at the end of last week.\u00a0 Holter says,<\/p>\n

<\/div>\n

\u201cIn a 48-hour period of time, silver was up over $5 per ounce.\u00a0\u00a0It\u2019s pretty clear and pretty obvious that something behind the scenes is breaking.\u00a0<\/strong><\/em><\/p>\n

We know that the lease rates have exploded.\u00a0 We know that the borrow rates on SLV have exploded.\u00a0<\/em><\/p>\n

We also know that in the last 5 to 7 years, silver has been in a deficit… At this point, you are looking at a 400-million-ounce deficit on an annual basis, and global production is 850 million ounces…<\/em><\/p>\n

The rumor is somebody has put in a $20 billion order, which would mean 400 million ounces.\u00a0<\/em><\/strong><\/p>\n

If that is the case, that order cannot be met, and that will create shark infested waters…<\/em><\/p>\n

If somebody stands for delivery and\u00a0it looks like it may be difficult for them to get delivery<\/strong>, then everybody is going to stand for delivery because they know that their contracts are worthless.\u201d<\/em><\/p><\/blockquote>\n

What would happen if there is an actual failure to deliver in the silver market?\u00a0 Mr. Gold says,<\/p>\n

\u201cIf that gets confirmed, then that one day you will see a huge spike, but markets won\u2019t open after that.<\/strong>\u00a0 That will cascade.\u00a0 What will happen is all the COMEX contracts for both silver and gold will default.\u00a0<\/em><\/p>\n

That will spill over to the rest of the CME (Chicago Mercantile Exchange).\u00a0 It has contracts on US Treasuries and stocks.\u00a0 They have contracts on everything.\u00a0 If the silver contracts blow up and the gold contracts blow up, how much confidence are you going to have on pork bellies or stocks…<\/em><\/p>\n

The derivative market is $2 quadrillion.\u00a0<\/strong>\u00a0In the future, you are going to measure your wealth by how many ounces of silver and how many ounces of gold you own…<\/em><\/p>\n

Once you get a failure to deliver, you will get a Mad Max scenario.\u00a0 Failure to deliver will melt down all derivatives.\u00a0<\/em><\/strong><\/p>\n

The world runs on credit, and credit runs on faith.\u00a0 If you break faith, then you have a real problem in the financial markets and the real economy.\u201d<\/em><\/p><\/blockquote>\n

In closing, Holter warns,\u00a0\u201cThe problem is there is very little collateral left.\u00a0 Everything has been borrowed against already.\u201d\u00a0<\/strong><\/p>\n

Holter is not alone in his thinking about huge risk in the system. \u00a0It appears billionaire investors Jeff Gundlach and Ray Dalio agree with Holter, and they are warning of liquidity problems.<\/a>\u00a0\u00a0For the first time in their successful careers, they are both buying physical gold.<\/p>\n

On a total system stopping derivative meltdown, Holter says,\u00a0\u201cMost people think it is not possible, and it can\u2019t happen.\u00a0 Mathematically, a meltdown in derivatives that melts everything down is coming.\u00a0 It\u2019s over.\u00a0 Mathematically, it\u2019s over.\u201d<\/strong><\/em><\/p>\n

There is much more in the 41-minute interview.<\/p>\n

Join Greg Hunter of\u00a0USAWatchdog<\/a>\u00a0as he goes One-on-One with financial writer and precious metals expert\u00a0Bill Holter\/Mr. Gold<\/a>\u00a0as the risk in the financial system increases for 12.2.25.\u00a0<\/strong><\/p>\n

Watch:\u00a0https:\/\/www.zerohedge.com\/markets\/clear-something-behind-scenes-breaking-holter-warns-were-headed-derivative-meltdown<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Financial writer and precious metals expert Bill Holter (aka Mr. Gold) said at the beginning of November that there was\u00a0\u201cmore risk in the financial system now than any time ever.\u201d\u00a0\u00a0 There are so many ways the system can break down it\u2019s hard to keep track, but let\u2019s start with exploding silver prices that happened at … <\/p>\n

Continue reading “Clear That ‘Something Behind The Scenes Is Breaking’ Holter Warns, We’re Headed For A Derivative Meltdown”<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5,10],"tags":[],"class_list":["post-62673","post","type-post","status-publish","format-standard","hentry","category-general-interest","category-wealth-tips"],"_links":{"self":[{"href":"https:\/\/www.tomgrimshaw.com\/tomsblog\/index.php?rest_route=\/wp\/v2\/posts\/62673","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.tomgrimshaw.com\/tomsblog\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.tomgrimshaw.com\/tomsblog\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.tomgrimshaw.com\/tomsblog\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.tomgrimshaw.com\/tomsblog\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=62673"}],"version-history":[{"count":1,"href":"https:\/\/www.tomgrimshaw.com\/tomsblog\/index.php?rest_route=\/wp\/v2\/posts\/62673\/revisions"}],"predecessor-version":[{"id":62674,"href":"https:\/\/www.tomgrimshaw.com\/tomsblog\/index.php?rest_route=\/wp\/v2\/posts\/62673\/revisions\/62674"}],"wp:attachment":[{"href":"https:\/\/www.tomgrimshaw.com\/tomsblog\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=62673"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.tomgrimshaw.com\/tomsblog\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=62673"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.tomgrimshaw.com\/tomsblog\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=62673"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}