I just checked out Kitco's buy prices for Canadian Junk Silver and was pleasently surpised to learn they are at near if not record levels. By my calculation they are willing to pay a hair under 89% of the underlying bullion value. It wasn't more than half a year ago or so when Silver was closer to $40 and Kitco's bid was nearly ten percent lower - quite the dramatic shift.

I've been watching this important source of scrap for some time after reading many corroborating reports that claim 80-90 percent of all Silver coins were destroyed during the Great late 1970's 1980's Melt. If this accounting has any merit then one could deduct it shouldn't take very many years to entice a good portion of the remaining hordes into the melting pot.

Granted 35 years ago everyone and his uncle took part in the mania whereas thus far into this bull market, "redemptions" have been at a much slower pace, yet Kitco's high bid does clearly speak of shortages of Canadian Junk Silver. Whay else would they bump up their bid? At any rate thought I'd chime in with some anecdotal evidence which supports the common sense conclusion that $29 bucks an ounce is way too cheap in the face of recent European Bank infusions, lackluster Western Economies and another $1 Trillion debt increase on the horizon sought after by Nobama.

Hope everyone had a Merry Christamas, Happy Hanukah and had time to reflect on how fortunate we are compared to so many of our fellow brothers and sisters.