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Shanghai Silver Surpasses $100/oz | David Jensen

Liberty and Finance Jan 21, 2026

Summary

Silver trades at a record ~21% premium in Shanghai over the US ($103.35 vs $93), reflecting an acute global physical shortage.

Backwardation in silver and Costco inventory falling from ~200 stores to 7 of 630 confirm physical demand is overwhelming paper supply.

Guest argues currency debasement and UBS's 300Moz silver deficit forecast leave gold and silver as the only assets worth holding long term.

Refineries running 24/7 prefer 99% silver over coin, putting 80%/90% junk silver at a deep spot discount for investors.

Elijah K. Johnson's takeaways

  • Top takeaway The host frames the discussion by noting US silver at $95/oz with Asian markets already over $100/oz and flags the US-Asia price divergence as the largest seen to date.
  • The host suggests precious metals may be anticipating a future disaster or inflation, and cites hints from the current US administration including the Treasury Secretary's mention of monetary realignment and silver being designated a strategic metal.

David Jensen's takeaways

  • Top takeaway The guest argues silver is skyrocketing on a global shortage and relentlessly accelerating physical demand across wholesale, exchange, and retail channels, with the Shanghai benchmark around $103.35 versus US Globex ~$93 as of January 2026.
  • The guest contends the London silver price-fixing scheme (since 1987) is in collapse, pointing to London silver liquidity going to zero on October 10 and only ~55 million ounces added to ~140 million ounces of non-ETF vault holdings in the last couple of months.
  • The guest cites a UBS forecast of a 300 million ounce silver deficit, warning it could swell to 600–1,000 million ounces as paper contract holders exit London to chase physical delivery.
  • The guest frames backwardation as 'physical is king,' noting a retail tracker showed Costco silver availability collapse from ~200 stores last week to just 7 of ~630 US stores as 2026 Silver Eagles were released.
  • The guest advises against taking profits or redeploying capital out of precious metals, calling gold and silver (and possibly platinum and palladium) the only safe havens worth holding amid multi-decade currency debasement.