Plans to short sell at prices never seen before circulating on Reddit.
As a result, the price of silver rose yesterday as a result, with silver stocks rising in response.
Ultimately, raising silver to $ 1,000 an ounce is practically impossible to do, said Peter Hug, Director of Global Trade at Kitco Metals.
“[Reddit users] indicated that they were trying to compress silver. Much harder to do [than with GameStop] because here we are talking about the big, big global banks involved in the market and the metals will be traded based on the fundamentals of supply and demand, although there is a tightening in the market for investment products for silver. Larger bars than 1,000 ounces have ample supplies available … so there are plenty of big bars on the market, ”said Hug.
Market fundamentals are still on the silver side from a medium to long-term perspective, and even after yesterday’s hike, the price of silver is still undervalued at these levels, Hug said.
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