I too have only been thinking of buying PAASF. It looks to me like a well run company, but it seems to be a pure metals play(primarily silver). Their last quarter they showed a small profit for the first time which at current silver prices isn't bad. If you think silver is going up this stock should have a big gain. Which brings me to my question. Have you ever heard of a "metals contract"? I read somewhere on the info-superhighway that they are what is keeping metals prices depressed. Apparently it goes like this: A central bank "loans" their silver to someone in return for a small interest payment with the understanding that this silver will be returned. These metal loans depress the price of the metal because the central banks are putting so much of the shiny stuff into the supply stream. The problem with this is that most of this metal is being consumed and therefore can not all be returned. Story goes demand is exceeding new supply by about 150 million ounces a year. In three to four years, depending on whose estimates you believe, inventories will be depleted and the law of supply and demand will force silver up big. Does anyone out there know if this is really what's going on or are me and my "source" missing something?
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