Gold and Silver Commercial Traders Begin to Cover Short Positions

Does the trend change in the short position of commerical traders signal a bottom for precious metals? Gold and silver posted a strong start to the year in 2017, despite the December rate hike. This was a repeat of last year, when the December 2015 Federal Reserve rate hike was followed by a massive rally in precious metals. However, both gold and silver have pulled back sharply over the past few weeks. Gold is down $60 or 4.5% to $1,200, while silver is down $1.40 or 7.5% to $17 per ounce.

First published here: Gold and Silver Commercial Traders Begin to Cover Short Positions