With Gold's 'Aggressive Move' Up, Gold-Silver Ratio No Longer Matters: BMO | Metals Mine

  • With Gold's 'Aggressive Move' Up, Gold-Silver Ratio No Longer Matters: BMO

    From kitco.com

    Gold’s rally to six-year highs has left silver behind, with fund managers repositioning their exposure to gold amid dovish global monetary policies, trade concerns, and rising geopolitical tensions, according to BMO Capital Markets. “The gold:silver ratio no longer has much relevance. With gold prices running hard, we have received many questions as to what this means for silver. In our view, while gold continues to receive ‘annuity’ demand from macro asset allocation trends, silver does not, and until this changes we may be looking at a growing disparity over time,” said Colin Hamilton, BMO Capital Markets ... (full story)

Comment Options
swagtrading
Jun 26, 2019 4:14am
Permalink
While I have been hurting, having shorted Gold/Silver ratio around 90.0 (currently near 92.5), I am for now not changing my view. I think the ratio is set to come down, and the contrarian in me is now convinced about a fall in ratio, given banks are saying that it now does not matter.
Reply
bulltrap
Jun 26, 2019 12:46am
Permalink
So as soon as the ratio hits a level that is supposed to prompt traders to take action the measure is irrelevant? I think that’s BS.

Also, did they really say that cryptocurrency is a distracting people from buying silver? Huh?
Reply
SurfsUp
Jun 26, 2019 8:36am
Permalink
Quoting bulltrap
So as soon as the ratio hits a level that is supposed to prompt traders to take action the measure is irrelevant? I think that’s BS.
Agreed. Skeptical on motives behind the post.
Reply
  • Story Stats