After a dramatic 8 week run-up in silver prices, the bubble burst last week on a sudden strengthening of the dollar. Since March 1, the iShares Silver Trust (SLV) gained nearly 40% before rapidly returning to early March levels in less than a week.
Worries about inflation continue to weaken the dollar and send gold and silver to new highs. In today’s trading, the front-month contract for Silver settled up $1.597, or 3.4%, at $46.062 per troy ounce — a 31-year high according to the Wall Street Journal.
One of the world’s leading providers of Exchange Traded Products entered the US ETF market on Friday with the launch of the ETFS Silver Trust (SIVR). Introduced by ETF Securities Ltd (ETFS), the ETFS Silver Trust reflects the performance of the price of silver bullion, less the Trust’s operating expenses.