Some commodities market observers see more upside coming for silver and the aforementioned exchange traded funds. It could just be a matter of investors properly timing new entries into the likes of SIVR and SLV.
“In a trading note Saxo Bank points out overall bullish positioning or net longs in silver held by derivatives traders have plummeted from a record high to a 16-month low in the space of just five weeks,” according to Mining.com. “Silver ETF holdings have shot up by nearly a 1,000 tonnes as bargain hunters pick up metal during spells of weakness. Retail investors have also been pouring money into gold ETFs this year, despite a few wobbles along the way.”
Since the start of the current quarter, investors have added nearly $134 million in new capital to SLV, the largest silver ETF. Second-quarter inflows to SIVR are nearly $10.6 million.
For more information on the silver market, visit our silver category.