Silver ETF Supporting Price Of Metals
February 21st at 1:07pm by Tom Lydon
Exchange traded funds (ETFs) investing in silver have continued to support the price of the metal. Since the launch 10 months ago, the impact on the silver market hasn’t been as solid as participants had expected, but the shortened supply due to the vaults does create demand. Joe Morris of Ignites remarks that The iShares Silver Trust (SLV) does seem to have helped boost silver’s price, just as trading in gold-linked ETFs seems to have pumped up that metal’s price.Still be aware that silver has a tighter liquidity than the gold market so any sustained inflows into the silver ETF could cause problems with liquidity.
