Fed funds futures imply limited probability the central bank will raise rates later this month, leading some market observers to say that, at most, there will be just one rate hike this year. Even that happens, some bond traders believe the Fed will not raise rates again until late 2017.
SEE MORE: Record Investment Demand for Gold ETFs
Silver, along with the ETFS Physical Silver Shares (NYSEArca: SIVR), has also mirrored the surge in gold in response to ongoing market volatility. Silver has exhibited a correlation of over 80% to gold and typically moves in the same direction as the yellow metal but in larger movements.
Net long positions in silver rose by 3,600 contracts for the week ending Sept. 6, according to CFTC data.
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SPDR Gold Shares
