Silver ETFs jumped nearly 4% in early trading Monday as gold prices climbed back over $1,300 an ounce and the U.S. dollar weakened against most rivals.
The iShares Silver Trust (NYSEArca: SLV) rallied 3.8% while SPDR Gold Shares (NYSEArca: GLD) added 2.2% and PowerShares DB US Dollar Index Bullish Fund (NYSEArca: UUP) slipped 0.4%.
“Recent comments from the Fed Chairman eased worries about the Fed’s asset-purchase program and this resulted in some short covering,” Kotak Commodity Services said in a Bloomberg report.
GLD, the gold ETF, was down about 23% year to date as of July 19.
There are some signs that selling in gold ETFs is abating. For example, the 10.2 tons sold last week was the least since May, according to Bloomberg.