Holdings in six major silver ETFs tracked by Reuters fell to 16,139 tonnes as of Monday, their lowest since December, Reuters reported. In late April, holdings in gold exchange traded products slid to 166.3 metric tons, then a monthly decline record.
If there is any silver lining, no pun intended, it is those that have been bold to bet against the aforementioned ETFs, either via the options market or with inverse ETFs, have been handsomely rewarded. Less than 10 ETFs are showing second-quarter gains of 30% or more, but four are bearish plays on gold or silver. That list includes the Direxion Daily Gold Miners 3X Bear Shares (NYSEArca: DUST), which has more than tripled just this quarter.
Direxion Daily Gold Miners 3X Bear Shares
ETF Trends editorial team contributed to this post.