The macro funds are (finally) awakening before the Silversqueze in which you can invest, says Daniel Ghald, senior strategist of TDS raw materials.
Liquidity in London is still severely limited
“Our advanced positioning analyzes point to a continuous increase in silver positioning by macro funds last week, raising their net length to their highest levels since 2018, with a considerable capital still available still. It will attract more capital flows. “
“This is consistent with the moment of a countdown to a silversqueze, with historical precedents and academic investigations corroborating our vision of an additional upward convexity in the coming months. Liquidity in London remains severely limited, even when the dislocations have decreased in gold, since the US continues to extract metal from the world.”
“Lease rates remain extremely high and, although physical demand remains limited, speculative flows are finally beginning to appear. In most of the stages for prices, we still expect an increase in the positioning of the CTA in the next sessions, but the artificial fires will come from additional discretionary traders flows.”
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
