by Frank Holmes
GoldSeek
Strengths
– The best performing precious metal for the week was silver, up 5.86%. The Reddit day-traders discovered silver this week after sending GameStop and other stocks soaring. Comments appeared on Reddit on Wednesday calling the iShares Silver Trust the “biggest short squeeze in the world,” citing banks as manipulators of precious metal prices. On Thursday while the iShares Trust gained as much as 7.2% and spot silver up 6.8%, prop traders likely piled into the trade too to take advantage of the momentum change.
– The World Gold Council (WGC) said in its 2021 outlook report that it expects gold demand to rebound from an 11-year low. Analysts say China’s economic recovery is already supporting an increase in gold jewelry demand. Gold consumption fell dramatically in 2020 due to record high prices and the pandemic taking a toll on economies.