“The hedge funds are LONG silver NOT short silver.” “By buying silver/going long on silver, you would be directly putting money into the pockets of the EXACT HEDGE FUNDS ON THE OTHER SIDE,” one WallStreetBets user posted late Sunday night. “No one’s really short silver and it’s just too big for them to push over the line.”Įven some Redditors were preaching caution on Monday. “Not only is it a very large market,” said Gianotto. Price of silver surges as Reddit traders find new targetĪnd even if the small traders could keep the price of silver soaring, the the market for metals like silver is just too big to squeeze, experts said. “This has the fingerprints of a retail surge all over it,” he said, pointing to heavy trading volumes in silver exchange-traded funds as well as data showing metals brokers like APMEX saw a surge of new customers over the weekend.īut unlike their big victories squeezing hedge funds shorting small-cap stocks like GameStop, small investors are now betting with the conventional wisdom.Īccording to data from the Commodities Future and Trading Commission, the net position of metals traders dealing in silver has been a long one for the first few weeks of 2021. Ryan Giannotto, director of research at GraniteShares, a New York-based ETF issuer, said that novice investors - like those on Reddit forum WallStreetBets - appeared responsible for the “vast majority” of Monday’s price spike. The uptick, which mirrored frenzied trading in stocks like GameStop and AMC, resulted in an unprecedented volume of trades that sent the price per ounce of silver above $30 for the first time since 2013.Īnd it garnered support from the Winkelvoss twins and others who dibbed the move as “EPIC” and popularized the hashtag #silversqueeze. The price of silver skyrocketed on Monday as users of Reddit forum WallStreetBets piled into the precious metal and proclaimed it the next front in their war against Walls Street’s old guard. But metals market experts say the resulting rally is more likely helping, rather than hurting, the big boys. ![]() The merry band of day traders behind runaway stocks like GameStop piled into silver on Monday in an effort to squeeze Wall Street. This Northeast region beats out NYC for hottest rental market in USįinally, a “Reddit rally” Wall Street can get behind. US earnings set to be weakest since COVID pandemic, Goldman Sachs warnsīank chaos fuels uncertainty about Federal Reserve’s next policy move “This ‘squeeze’ that all these people are referring to is definitely not a ‘squeeze’ at all and is an artificial hedge-fund driven attempt to reduce the GME momentum and we should all be cognizant of the media manipulation and happening everywhere including right here,” he summarized.Manhattan rents reach all-time high at $4,175 per month as exodus continues This could suggest that it somewhat reflects the overall community’s sentiment.įurther, the post claimed that the source of the reports claiming WSB was behind a silver rally was misinformation put out by the hedge funds themselves. While Reddit is a pseudonymous platform, which means that no single message can be considered an “official” statement from the WSB, the post in question has already been upvoted over 64,000 times and received roughly 500 community rewards. But when it comes to silver, the exact same hedge funds are betting its price will go up, so any price boom will play into their hands. The ultimate purpose was to send a message to Wall Street-which it certainly did. The entire principle behind boosting the price of GameStop was to liquidate the hedge funds that were shorting it, causing them to exit the trade at huge losses. Someone is orchestrating a serious disinformation campaign. On WallStreetBets, there are only 3 posts on Silver in about the top 50, and they’re all warning everyone to stay away. ![]() On Twitter, everyone is saying WallStreetBets is going after Silver next.
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