The first thing that you should be asking yourself is how the heck could 70 different commercial traders managed to buy (covering shorts and adding longs) on such an extreme selloff – such as, are they just lucky or is God on their side?
Silver stood as a top performer in 2020, up nearly 48%, its best year since 2010, when it rose over 80%. The white metal benefited not only from haven demand, fueled by unprecedented money-printing, but industrial demand as well.
The Commercial net short position in silver now sits at 176.3 million troy ounces...and obviously down 62.1 million troy ounces from the 238.4 million troy ounces that they were short in last Friday's COT Report. So despite the shenanigans in the paper market in silver, there has been about 12 million ounces of silver deposited into various and sundry ETFs and mutual funds in the last two weeks.
Rafi Farber joins us to discuss what he believes is likely to happen as the Fed tightens monetary policy.
He is expecting markets to have a big decline, along with precious metals.
This may be the final dip for gold & silver.