Silver ETFs Still Trying to get it Together

Related: Choosing the Right Precious Metal ETF for the Right Job

Silver could get another boost if gold prices start rebounding in earnest. Indian demand is vital for gold because the country is the second-largest buyer of the yellow metal behind China. India, one of the world’s largest gold consumers, could be set to lower its import tax on bullion, which could be major catalyst for gold prices.

“Debt around the world is in the trillions and has never been higher at any time in history.  Even worse, financial derivatives is 10 to 100 times greater [owned by financial banks, for the most part], with no hope of ever being able to control them once market reverse to the downside,” according to ETF Daily News.

Currently, bearish sentiment towards silver continues to pressure the market as net futures positioning touched its lowest level since December 2015, Gold said. On the other hand, short positions have surged to 83% in June from the month prior on falling inflation expectations and rising above ground inventories.

Since the start of the third quarter quarter, investors have added a combined $74.5 million to SLV and SIVR.

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