RE: Banks have lost control $300 silver squeeze Sprott Inc.1 Mar 2026 11:47
Billionaire investor and Sprott Inc. founder Eric Sprott told Kitco’s Jeremy Szafron that he’s certain physical stocks are being rapidly depleted.
"There's no doubt there's a physical short squeeze going on," Sprott told Szafron. "We can track the inventories of the LBMA, we track them on the CME, we can track them on the Shanghai Gold Exchange."
Sprott noted that the physical drain is accelerating globally, specifically pointing to recent outflows in the East. "Shanghai today, they lost 10% of their inventories," he said. "Today they're down to about 11 million ounces. I mean, that's almost zero for a country the size of China."
He emphasized that major Western institutions are largely trapped in their paper positions as the physical supply vanishes. "There's still a short position of, I think, roughly 500 million ounces of silver on Comex," Sprott explained. "And I don't see the miners doing that, it's mostly banks."
According to Peter Schiff, CEO of Euro Pacific Asset Management, the timing of the CME suspension raises critical questions about the integrity of the metals market during a period of extremely elevated physical demand.
“It's better than telling the truth,” he said in an interview with Kitco News.