Nelson Bunker Hunt and William Herbert Hunt built huge positions in physical silver and futures in 1979. Silver rose from about $6 an ounce to a $48.70 close o…
Nelson Bunker and William Herbert Hunt distrusted paper money in a decade of high inflation and bought silver in bulk.
Over 43 million ounces of bullion by autumn 1979, plus futures for another 60 million, the CFTC says.
With partners, the Hunt group held about 195 million ounces in metal and futures, worth about $6.8 billion on paper.
COMEX imposed Silver Rule 7: position limits of 10 million ounces, plus higher margins.
Silver closed at $48.70 on 17 January 1980, about eight times its price a year earlier.
COMEX allowed only orders to close positions. Silver fell about $10 to $34 the next day.
The Hunts could not meet margin calls. Silver hit $10.80 and they owed broker Bache about $122 million unsecured.
Thirteen banks lent $1.1 billion to the Hunts' Placid Oil, approved by Fed chairman Paul Volcker, to stop the damage spreading.
After five years, the CFTC accused the Hunts and others of manipulating silver prices. The Hunts denied it.
A civil jury found Bunker, Herbert and Lamar Hunt liable to Peru's Minpeco for conspiring to corner silver. Not a criminal case.
Bunker Hunt paid a $10 million fine and accepted a permanent trading ban, without admitting or denying wrongdoing.
In nominal terms, yes: first in October 2025, then a record about $121.62 in January 2026 before a 26% crash.
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