BC HISTORY
Saved by @Mollyycolllinss

THREAD: With #silversqueeze trending on Twitter, it appears that this week's market spectacle may well be in the silver market.

A perfect moment for a thread on the Hunt Brothers and their alleged attempt to corner the silver market...

 1/ First, let's set the stage.

The Hunt Brothers - Nelson Bunker Hunt, William Herbert Hunt, and Lamar Hunt - were the sons of Texas tycoon H.L. Hunt.

H.L. Hunt had amassed a billion-dollar fortune in the oil industry.

He died in 1974 and left that fortune to his family.
2/ After H.L.'s passing, the Hunt Brothers had taken over the family holdings and successfully managed to expand the Hunt empire.

By the late 1970s, the family's fortune was estimated to be ~$5 billion.

In the financial world, the Hunt name was as good as gold (or silver!).
3/ But the 1970s were a turbulent time in America.

Following the oil crisis of the early 1970s, the U.S. had entered a period of stagflation - a dire macroeconomic condition characterized by high inflation, low growth, and high unemployment. https://t.co/aKpADbwk8X
4/ The Hunt Brothers - particularly Nelson Bunker and William Herbert - believed that the inflationary environment would persist and destroy the value of their family's holdings.

To hedge this risk, they turned to silver.

They began buying the metal at ~$3 per ounce in 1973.
5/ Not a conservative bunch, in the mid-late 1970s, the Hunt Brothers began more aggressively buying physical silver.

But it didn't stop there.

They started buying all of the available silver futures contracts as well.

A primer on futures is below. https://t.co/3FAepaPFR0
6/ Typically, these futures contracts are settled in cash, meaning the buyer (the Hunts) just receives cash for whatever the contract is worth at expiry.

But the Hunts were not typical - they wanted the silver!

So planes were loaded and shuttled silver to vaults in Switzerland.
7/ In addition to using their personal cash fortunes to execute this buying, the Hunt Brothers began aggressively leveraging their position.

They used margin (primer below) to expand their buying power in the market.

Their silver position ballooned. https://t.co/qOTBqwzYGa
8/ With the flood of demand from the Hunt Whale, silver prices began to rise.

At this point, it was rumored that this was more than a simple bet on silver as a hedge against paper currency.

The Hunt Brothers were attempting - rather successfully - to corner the silver market.
9/ Cornering a market means an individual or entity acquires enough shares or ownership to manipulate the market price.

The individual backs the market into a corner - the market has nowhere to run.

The cornering party has full control over it.

It seemed like the Hunt's plan.
10/ In addition to their prolific buying, the Hunts brought other investors, some of Saudi origin, into the trade.

As prices climbed, a short squeeze was on.

Silver shorts were forced to cover their positions, further accelerating the price rise. https://t.co/xKDUscvQup
11/ The price of silver skyrocketed from $6 per ounce in early 1979 to over $49 per ounce in early 1980 (a 700%+ spike!).

The Hunt position was now worth ~$5 billion.

They were believed to control 2/3 of the available market - intentionally or not, they had cornered the market.
12/ With prices at all-time highs, the silver frenzy was in full effect.

The price rise was so dramatic that Tiffany's took out a full-page ad in the @nytimes deriding the Hunt Brothers for their actions and their impact on pushing mom-and-pop silver buyers out of the market.
13/ At this point, the government took notice.

And if there is one thing we learned in the last week, it's that the rules of the game can be changed at any time.

Unfortunately for the Hunt Brothers, the rules of the game were about to change and pull the rug from under them.
14/ In January 1980, Federal regulators stepped in.

In "Silver Rule 7," regulators increased the margin requirements on silver futures, meaning purchasers would need to post additional collateral to support their loans.

The rules had changed - the Hunts were now the hunted.
15/ What followed was a classic, leverage-induced downward spiral.

The price of silver began to fall.

The Hunt Brothers were issued margin calls on their loans.

To meet the margin calls, they had to sell silver.

The selling dropped the price, leading to more margin calls.
16/ On March 27, 1980, when news broke that the Hunt Brothers had been unable to meet a $100+ million margin call, the silver market collapsed 50% to under $11 per ounce.

The government even grew worried about the systemic risk to the system if the Hunt's brokers went under.
17/ Given their other business interests, the Hunt Brothers were able to secure a rescue package of $1.1 billion from a variety of banks in order to meet their obligations.

While they did later declare bankruptcy to protect certain assets, the family fortune generally survived.
18/ Throughout the government and legal proceedings that followed the incident, the Hunt Brothers denied any wrongdoing.

They maintained that their silver purchases were not an attempt to corner the market but a legitimate investment in a hedge against fiat destruction.
19/ So as the world once again turns its gaze to the silver market, I hope the story of the Hunt Brothers provides an interesting historical backdrop for this week's show.

As always, do your research and never take undue risks!
20/ If you enjoyed this, follow me for more educational threads on business, money, finance, and economics. You can find all of my threads in the meta-thread below. https://t.co/53UhhfzIcp
21/ And if you are less Twitter inclined, sign up for my newsletter here, where you can find all of my old threads and receive all of my new threads directly to your inbox. https://t.co/NEe1Tov0Xg

More from Sahil Bloom

Sahil Bloom
Sahil Bloom
@SahilBloom
Memento Mori is a powerful philosophical tool for finding clarity and unlocking growth in your career, startup, business, writing, or relationships.

A thread on its meaning and how it can change your life...


Memento Mori is a Latin phrase that translates to "remember that you must die."

A favorite of Stoic philosophy, it is a reminder of the certainty and inescapability of death.

It is not intended to be morbid or dark; rather, to clarify, illuminate, and inspire.

Memento Mori - the idea of remembering your mortality - has been around for millennia.

The phrase itself is believed to have originated in the Roman Empire.

After military victories, the heroes were paraded through the streets on chariots.

They may have felt like Gods...

But the Romans would place one person in the chariot whose sole responsibility was to whisper in the hero's ear throughout the parade.

"Respice post te. Hominem te esse memento. Memento mori!"

Translation: "Look behind. Remember thou art mortal. Remember that you must die!"


Memento Mori served as a tool to invoke humility in moments of glory.

It can also be a tool for providing clarity.

The Roman Emperor Marcus Aurelius famously wrote in his Meditations, "You could leave life right now. Let that determine what you do and say and think."
ALL , PHILOSOPHY
Sahil Bloom
Sahil Bloom
@SahilBloom
The most powerful paradoxes of life:

The Persuasion Paradox

Have you noticed that the most argumentative people rarely persuade anyone?

The most persuasive people don’t argue—they observe, listen, and ask questions.

Argue less, persuade more.

Persuasion is an art that requires a paintbrush, not a sledgehammer.

The Effort Paradox

You have to put in more effort to make something appear effortless.

Effortless, elegant performances are often the result of a large volume of effortful, gritty practice.

Small things become big things. Simple is not simple.

The Wisdom Paradox

“The more I learn, the more I realize how much I don't know.” — Albert Einstein

The more you learn, the more you are exposed to the immense unknown.

This should be empowering, not frightening.

Embrace your own ignorance. Embrace lifelong learning.

The Growth Paradox

Growth takes a much longer time coming than you think, and then it happens much faster than you ever would have thought.

Growth happens gradually, then suddenly.

When you realize this, you start to do things differently.
LEARNING , PRINCIPLES
Advertisement
Sahil Bloom
Sahil Bloom
@SahilBloom
10 threads to accelerate your career:

How to Win (without talent or luck)

20+ principles compiled from the most impressive leaders and thinkers in the world.


20 Ways to Stand Out in a Hiring Process (that don’t involve your resume)

You can stand out without fancy degrees or credentials—learn how.


Common Interview Questions (& how to nail them)

Interviews suck—proper preparation makes them suck slightly less.


How to Write Cold Emails (or DMs)

Because one lucky break can make all the difference…
ALL
Sahil Bloom
Sahil Bloom
@SahilBloom
10 fascinating traits of highly-successful people:

1) Enjoy Being Wrong: The most successful people legitimately enjoy being wrong. They’ve learned to embrace new information that forces you to change your viewpoint—these "software updates" improve upon the old.

(read on)

2) Work in Sprints: Parkinson's Law says that work expands to fill the time available for its completion. Winners typically work like lions instead—sprint, rest, repeat.

3) Antifragile: Life is chaotic. The best aren't broken by the chaos—they build structure to benefit from it.

4) Paranoia: Highly-successful people share a surprising fear that all of the success is suddenly going to disappear. It creates a drive for continued growth.

5) Self-Awareness: The most successful people are hyper self-aware. They know their unique edge (and their weaknesses).

6) Compartmentalization: An uncanny ability to compartmentalize. They turn off outside stressors and focus exclusively on the task at hand.

7) Focus on Questions, Not Answers: They ask great questions. It allows them to aggregate insights more effectively.

8) Expert Advice Filters: Winners have learned how to filter and selectively implement advice—take the signal, skip the noise.

9) Impatient Long-Term Thinkers: Long-term thinking plus short-term impatience for action is the recipe for success.
PRINCIPLES
Sahil Bloom
Sahil Bloom
@SahilBloom
20 ideas I can’t stop thinking about:

The Feynman Technique

To learn anything:

Step 1: Identify a topic
Step 2: Try to explain it to a 5-year-old
Step 3: Study to fill in knowledge gaps
Step 4: Organize, convey, and review

True genius is the ability to simplify, not complicate.

Simple is beautiful.

Intellectual Sparring Partners

Most of us need fewer friends and more intellectual sparring partners.

Friends are easy to come by.

Intellectual sparring partners are harder to find.

They will call you on your BS, question your assumptions, and push you to think deeply.

Boredom Alpha

Experiencing regular periods of boredom is a competitive advantage.

Your most creative moments come during bouts of boredom.

In the shower, on a walk, at a dinner by yourself.

You’re bored, your mind wanders, and creative insight strikes.

Boredom creates alpha.

Paths Open vs. Closed

Black Lines = paths closed
Green Lines = paths open

We spend too much time focusing on what might have been (black) and not enough time focusing on what may be (green).

Never underestimate the density of opportunity that lies ahead.

(h/t @waitbutwhy)
PRINCIPLES

More from History

Sahil Bloom
Sahil Bloom
@SahilBloom
In 1637, the Dutch Republic erupted into a speculative fever over an unlikely item...the tulip.

Tulip Mania has become a legend synonymous with market euphoria and bubbles. But is this tale all it's cracked up to be?

Who's up for a story?

👇👇👇


1/ The tulip is a spring-blooming flower native to the valleys of the Tien Shan Mountains in Central Asia.

It is believed to have been introduced to Europe in 1554, when an ambassador of the Holy Roman Emperor sent tulip bulbs and seeds to Vienna from the Ottoman Empire.


2/ Tulips gained in popularity as people were attracted to their rich color and ability to grow in sub-optimal conditions.

They soon became a coveted status symbol for the wealthy.

The Semper Augustus, with its colorful, flame-like streaks, was the most desired of them all.


3/ By the early 1600s, the Dutch Republic was entering a golden age.

Many financial innovations popped up during this time - the first stock exchange, for example.

But it was another financial innovation that would propel tulips into historical lore: the futures contract.

4/ As tulips grow slowly and may take several years to bloom, paper contracts were written that entitled the buyer to the future tulips.

These contracts were freely-traded.

So in addition to the physical market for tulip bulbs, a thriving paper market was established.
HISTORY
Deeksha Sharma
Deeksha Sharma
@saffronDeeksha
Taj Mahal is Hindu Monument: Prof Marvin Mills, Reputed New York Architect.
@LostTemple7 @DivineElement


1.Professor Marvin H. Mills, a leading New York architect and professor of architecture at the Pratt Institute had studied the Taj Mahal in detail. Here is part of his letter published in The New York Times. 👇👇

2.“New information and analysis have come forth to constitute a compelling argument that the Taj was actually a former Hindu palace occupied and converted to a tomb by the Moguls…There are many other inconsistencies in the Taj legend. The building to its left is now a mosque.

3.Had it been built originally as a mosque it would almost certainly have been oriented directly to Mecca,instead of due west.The four“minarets”that surround Taj mausoleum r inappropriate,for they logically should have been in front of the“mosque”for convenient calls to prayer.”

4.Through the letter, he had appealed thus, “The origin of the Taj can best be determined through scientific dating by carbon-14 and thermoluminescence, which the Archeological Survey of India should be urged to undertake.”
According to Prof Mills,
HISTORY
Advertisement
Fidato
Fidato
@tequieremos
Following the demolition of Babri Masjid by 150,000 kar sevaks of RSS, BJP and VHP in 1992, there were a number of mosques which were closed down across India after the Sang Parivar threatened to demolish them as well. The names of those mosques are enlisted in this thread:

Punjab
1. Masjid Dakan Sahay Jalandhar
2. Masjid Noor Saray Noor Mehal

Rajasthan
1. Ahya-Din ka Jhonpra, Ajmer Sharif
2. Jamia Masjid, Tambir

Tamil Nadu
1. Masjid Krishnagri
2. Masjid Arkat
3. Purani Masjid of Kila Dhelore
4. Internal Masjid of Kila Dhelore

[1]

5. Masjid Saadatullah Khan Gajni
6. Two mosques of Injin Gri Kila
7. Masjid Shams ud Din Vilaporam
8. Jamia Masjid Vilaporam

Uttar Pradesh
1. Purani Nawabi Masjid, Faizabad
2. Masjid of Haji Iqbal’s Courtyard, Faizabad
3. Jamia Masjid, Banda

4. Inner Mosque of Kila, Jonpur
5. Atla’s Masjid, Jonpur
6. Jamia Masjid, Jonpur
7. Lal Masjid, Lal Darwaza
8. Jhunjari Masjid, Lal Darwaza
9. Char Ungli Masjid, Lal Darwaza
10. Masjid Sheikh Burhan Zafar Abad, District Jonpur
11. Dhara Masjid, Waransi

12. Masjid Asauli, Waransi
13. Nagina Masjid Agra, Qila Agra
14. Akbri Masjid, Agra
15. New Masjid, Agra
16. Moti Masjid, Agra
17. Inner Mosque of Feroz Shah Tomb
18. Masjid of Tomb Jafar Khan
19. Masjid near ROza Diwali Begum
20. Masjid Fateh Pur, Taj Mehal Agra
HISTORY
Phil Gyford
Phil Gyford
@philgyford
This is the story of an ordinary seaside town and the global powers that tried to hide it from the world.

In 1983 a little-known filmmaker made a television documentary about an obscure working-class town in the English county of Essex. That filmmaker’s name was Adam Curtis.


He aimed to show that ordinary people could find fulfilment away from the ever-growing influence of global capitalism.

His film was broadcast by the BBC on Tuesday 19th April 1983, only one day after 33 people were killed when terrorists bombed the US Embassy in Beirut.


This documentary was “Just Another Day: The Seaside” and it depicted the small coastal town of Walton-on-the-Naze, where innocent holiday-makers found pleasure in a technology-free utopia.


The same day this film was shown, Polish author Jerzy Andrzejewski, whose books explored topics such as betrayal and the final days of World War II, died in Warsaw of a heart attack.


Curtis was convinced that if the ancient pastimes of these Essex pleasure seekers – such as Punch and Judy shows, and Wild West re-enactments – were captured on film then people around the world might realise something.

But this was a fantasy.
HISTORY
Vibhu Vashisth \U0001f1ee\U0001f1f3
Vibhu Vashisth 🇮🇳...
@Indic_Vibhu
Do u know about the Diamond known as The Eye of Brahma?

The Eye of Brahma also known as Black Orlov is 7th largest black diamond in the world of Indian origin. It weighs 67.50carats(13.500 g).The diamond was originally 195carats(39.0g)&was discovered in early 19th century India.


The Black Orlov featured as one of the eyes in a statue of the Hindu god Brahma in Puducherry. One night a European Jesuit priest who asked for refuge inside the temple, took advantage of the generosity, plucked and looted the diamond out of the idol's eyes.

It is said after this incident the diamond became cursed.

In 1932, diamond dealer J. W. Paris reportedly took the diamond to the United States, and soon after committed suicide by jumping from a skyscraper in New York City.

Later owners of the diamond included two Russian princesses, Leonila Galitsine-Bariatinsky and Nadia Vygin-Orlov (after whom the diamond is named). Both women allegedly jumped to their deaths in the 1940s.

The diamond was later bought by Charles F. Winson, and cut into three pieces in an attempt to break the curse; the 67.5-carat Black Orlov was set into a brooch of 108 diamonds, suspended from a necklace of 124 diamonds.
HISTORY

You May Also Like

Temitope Badejo
Temitope Badejo
@TemitopeBadejo1
It's another day to expose Peter Alabi @pastorpeealabi of @HoFChurchNG & @ChristTribe. More victims have reached out to us. Unknown to many, Peter Alabi is actually an unrepentant serial sexual abuser. We know that he's been lying that he has repented and that the stories...

... we have put out so far are only with reference to what happened years back. But we can also confirm that he continued to prey on more victims even after he left Ife in 2016. We also know that Peter Alabi made serious attempts to sleep with some ladies during the lockdown...

A victim, who was one of those Peter Alabi tried to sleep with during the Covid-19 lockdown has shared with us some of the chats between her and Peter Alabi, which were initiated by Peter Alabi. According to the victim, when Peter Alabi's intentions became obvious, she decided...

... to play along and act like she was in concert with him. This eventually made Peter Alabi to reveal his covert intentions to sleep with her. The chat began on Instagram in March 2020 and continued on WhatsApp till June 2020. We will be sharing screenshots of the Instagram...

... chats below. Later today, we will share the WhatsApp chats which are more revealing and expository. Please see the screenshots of the Instagram chats between Peter Alabi (peterayoalabi) and the victim below👇🏾 @oauchristians @HoFChurchNG @peterayoalabi @funlola_alabi
CRIME , PASTOR , ALL
Peter McCormack [Jan/3\u279e\u20bf \U0001f511\u220e]
Peter McCormack [Jan/3...
@PeterMcCormack
1/ So here is a thread on how I turned $32,000 into $1.2m and back to pretty much zero (once taxes are paid).

Just note, I am not bitter or salty in any way at all, the last 2 years have been an amazing ride - travelled the world, been wealthy, been poor.

2/ Dec '16, my advertising agency folded, I had a little bit of money left and I put $32k into Bitcoin and Ether. As it started to go up I diversified into everything, Monero, Dash, this that, any crap - even Ripplecoin. Everything just kept going up.

3/ By March I think I had around $300k and $500k by the summer. I used to take 25% out but towards the end of the summer I got greedy and put it all back in and by December it was $1.2m.

4/ Thinking I was an absolute genius I decided to start a bunch of businesses. As silly as it sounds I had this goal of making $5m as I wanted to buy Bedford Town Football Club and get them in the league, and as Crypto was going up forever I needed 6 months.

5/ So:
- Trading (income 1)
- Podcast (income 2)
- Mining (income 3)
- Mining pool (income 4)
- Consulting (income 5)

Yes - all of the above as a one-man army :)
LIFE
Advertisement
Steve Stewart-Williams
Steve Stewart-Williams
@SteveStuWill
THREAD: 12 Things Everyone Should Know About IQ

1. IQ is one of the most heritable psychological traits – that is, individual differences in IQ are strongly associated with individual differences in genes (at least in fairly typical modern environments). https://t.co/3XxzW9bxLE


2. The heritability of IQ *increases* from childhood to adulthood. Meanwhile, the effect of the shared environment largely fades away. In other words, when it comes to IQ, nature becomes more important as we get older, nurture less. https://t.co/UqtS1lpw3n


3. IQ scores have been increasing for the last century or so, a phenomenon known as the Flynn effect. https://t.co/sCZvCst3hw (N ≈ 4 million)

(Note that the Flynn effect shows that IQ isn't 100% genetic; it doesn't show that it's 100% environmental.)


4. IQ predicts many important real world outcomes.

For example, though far from perfect, IQ is the single-best predictor of job performance we have – much better than Emotional Intelligence, the Big Five, Grit, etc. https://t.co/rKUgKDAAVx https://t.co/DWbVI8QSU3


5. Higher IQ is associated with a lower risk of death from most causes, including cardiovascular disease, respiratory disease, most forms of cancer, homicide, suicide, and accident. https://t.co/PJjGNyeQRA (N = 728,160)
LIFE
Panic! in the Discord
Panic! in the Discord
@discord__panic
Neo-nazi group #PatriotFront held a photo op in #Chicago last weekend & is currently marching around #DC so it's as good time as any to compile a list of their identified members for folks to watch for

Who are these chuds?

Patriot Front broke away from white nationalist org Vanguard America following #unitetheright in #charlottesville after James Alex Fields was seen with a VA shield before driving his car into a crowd, murdering Heather Heyer & injuring dozens of others

Syed Robbie Javid a.k.a. Sayed Robbie Javid or Robbie Javid of Alexandria,


Antoine Bernard Renard (a.k.a. “Charlemagne MD” on Discord) from Rockville, MD.

https://t.co/ykEjdZFDi6


Brandon Troy Higgs, 25, from Reisterstown,
EXTREMISM
\u0936\u094d\u0930\u0940\u092e\u093e\u0932\u0940 \u0939\u093f\u0924\u0947\u0936 \u0905\u0935\u0938\u094d\u0925\u0940
श्रीमाली हितेश अवस्थी...
@HiteshAwasthi89
#Thread
12 Most Powerful Hanuman Mantras

Hanuman ji is the Hindu God of strength, valor, agility, and wisdom. He is considered as the incarnation (avatar) of bhagwan Shiva. Hanuman ji is the symbol of devotion and dedication. He is the greatest devotee of Prabhu Shri Ram. 1/n


Hanuman ji is known by several names such as Bajrangabali, Mahabali, Maruti Nandan, Pawanputra, Mahaveer, and Anjaneya. Hanuman ji is the son of Bhagwan Vayu, the wind god.

God Hanuman played a prominent part in rescuing Mata Sitafrom the bondage of demon King of Lanka, Ravana.


One can worship Hanuman ji by chanting Hanuman Mantras. There are many different types of Hanuman Mantras, each fulfilling a specific purpose. Hanuman Mantras help to beget the blessings of Mahabali Hanuman for success. 3/n


Let’s explore these powerful Hanuman Mantras one by one. Here’s the list for you:

1. Hanuman Moola Mantra
!! Om Hanumate Namah !!
ऊँ हनुमते नम:

You can chant the “Hanuman Moola Mantra if you usually face problems and obstacles in your life.4/n
#hanumanjanmotsav


However, the Human Moola Mantra is also a very powerful success mantra.

It’s a Kaarya Siddhi Mantra.

It is highly advised that all those who usually face obstacles and problems in their life should chant the Hanuman Moola Mantra. 5/n
#hanumanjanmotsav
ALL