👀 Watchlist Winners: Copy Legendary Investors' Portfolios in One ClickCOPY FOR FREE

PRECIOUS-Silver surges to near 6-month peak on retail frenzy

Published 01/02/2021, 12:15 pm
Updated 01/02/2021, 12:18 pm
XAU/USD
-
XAG/USD
-
GC
-
SI
-
PA
-
PL
-
SLV
-

Feb 1 (Reuters) - Silver soared as much as 7.4% to climb a nearly six-month peak on Monday, after social media posts last week called for retail investors to flood into the market and push up prices of the precious metal.

FUNDAMENTALS

* Spot silver XAG= hit its highest since Aug. 11 at $28.98 an ounce, and was up 5.4% to 28.45 by 0049 GMT.

* Silver has risen nearly 15% since Thursday, when posts began circulating on Reddit urging retail investors to buy silver mining stocks and iShares Silver Trust SLV , an exchange traded fund (ETF) backed by physical silver bars, in a GameStop-style squeeze. Buying an ETF can boost silver prices by increasing the number of shares in the fund and making its operator buy more metal to back them.

* The gold/silver ratio, which measures the number of silver ounces needed to buy an ounce of gold, fell to its lowest since 2014.

* Speculators upped their bullish positions in COMEX gold and silver contracts in the week to Jan. 26, data showed on Friday. Spot gold XAU= rose 0.3% to $1,852.35 per ounce. U.S. gold futures GCv1 gained 0.3% to $1,856.30.

* Meanwhile, 10 moderate Republican U.S. senators urged President Joe Biden on Sunday to significantly downsize his sweeping $1.9 trillion COVID-19 relief package. Elsewhere, platinum XPT= eased 0.1% at $1,072 and palladium XPD= shed 0.2% to $2,222.46.

DATA/EVENTS (GMT) 0500 India IHS Markit Mfg PMI

Jan 0600 Russia Markit Mfg PMI

Jan 0745 France Reserve Assets Total

Jan 0845 France Markit/IHS Mfg PMI

Jan 0850 France Markit Mfg PMI

Jan 0855 Germany Markit/BME Mfg PMI

Jan 0900 EU

Markit Mfg Final PMI

Jan 0930 UK

Markit/CIPS Mfg PMI Final Jan 1000 EU

Unemployment Rate

Dec 1300 Brazil Markit Mfg PMI

Jan 1445 US

Markit Mfg PMI Final

Jan 1500 US

ISM Manufacturing PMI

Jan

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.