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Retail traders using leveraged ETFs were a major driver of January’s dramatic gold and silver selloff – BIS
The exuberance of retail traders as precious metals prices rocketed to new all-time highs – and their overreliance on leveraged ETFs to gain additional exposure – played a disproportionate role in the dramatic late January selloffs in gold and silver, according to a new analysis from the Bank for International Settlements (BIS). “After a prolonged rally through 2025 and into early 2026, prices of precious metals such as gold and silver reversed abruptly in late January and February 2026,” wrote Egemen Eren, Ingomar Krohn and Karamfil Todorov in the BIS Quarterly Review. “Retail-driven exuberance, ... (full story)