Gold once again crossed the $2,000 per ounce mark on Friday (and has remained over that level this morning), and in today’s show, Vince Lanci talks about why the funds have been buying gold and selling silver.
During times of war the funds often buy gold due to the geopolitical risk, and look to do a pairs trade where they sell silver or copper to hedge the economic risk. In recent weeks they’ve been putting this on again, although the risk remains of short squeezes in silver, which we are seeing today, while gold is trading slightly lower.
Vince explains the dynamic that’s going on in the metals right now and details what the funds are doing, and why he expects short squeezes in silver to continue on a rolling basis. He also talks about how the market is viewing this week’s upcoming Federal Reserve meeting, where the world is largely expecting the Fed to leave rates unchanged again.
And before wrapping up, Vince shares his latest thoughts on the situation in the middle east, and how the markets are responding to the latest news. So to start your week with the latest update of what’s going on in the metals, click to watch this video now!