Hedge funds are all over silver.

28 September 2012

Basically, funds haven't been doing so hot. It's no wonder hedge funds are closing up shop - liquidations were up by 14% yoy in the first half. And fewer new funds are being launched.

I came across a Bloomberg article today with more discussion on hedge funds and silver:

Hedge funds are the most bullish on silver in seven months and investors' holdings are expanding toward a record on speculation the metal will outperform gold as central banks seek to boost growth.

Wagers on rising prices jumped 10-fold since June, U.S. Commodity Futures Trading Commission data show.

I expect the hedge funds to be wrong on this ... at least for the next few weeks. Silver has likely put in a short-term top.

 

Commodities Essential. 28 September 2012

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