#SILVER SHORT SQUEEZE FULL#

If silver was in fact the target of the r/WallStreetBets folks, it was a bad choice. By Thursday, February 4, silver closed at $26.60 per ounce.Īfter a week with a flurry of activity, nothing much changed. It reached a peak on Monday, February 1, just under $30 per ounce, an eight-year high. Silver closed on Friday, January 26, slightly above $25 per ounce. The ride was as thrilling as it was short-lived. I’m not sure how much was a result of r/WallStreetBets investors versus various other market participants along for the ride. This spike in demand caused a number of major on-line precious metals retailers to halt the sale of silver altogether until the situation was clearer…and supplies were once again available. In the frenzy of the next couple days, investors scrambled to load up on silver. I’m certain most thought it worthwhile to see where they could take the silver price before all was said and done. After all, they all saw what was possible with GME, so they wanted a front-row seat for the move on silver. Other investors started jumping into the pool as well.

#SILVER SHORT SQUEEZE FULL#

Silver was now the focus of their efforts.ĭespite a number of denials from r/WallStreetBets, the rumor mill was in full gear. The word was the r/WallStreetBets folks were switching their target. On Saturday, January 27, rumors started to circulate. And, it is estimated, assorted hedge fund losses were somewhere around $19 billion. This classic David and Goliath story resulted in GME’s market cap rising from under $3 billion to around $22.67 billion. They also put the fear of God in a few hedge fund managers and the market in general. In an effort to save some of their dearly beloved brands as they stick it to the hedge funds, r/WallStreetBets activists had a serious impact on the price of GameStop ( GME), AMC Entertainment Holdings Inc.

Over the past few weeks, the subreddit, r/WallStreetBets, has been garnering quite a bit of attention. Let’s take a look at what prompted the headline, then, we’ll consider what this means for silver going forward.

Hunts Guilty of Scheme to Corner Silver: Texans Ordered to Pay $130 Million to Firm in Fraud Convictionsįast forward a little over three decades, and we see this headline from The Wall Street Journal… Silver Prices Jump in GameStop-Like Frenzyīiggest one-day gain in more than a decade is latest sign of speculative trading that is jolting financial markets.īack in the 1970’s, Nelson Bunker Hunt, William Herbert Hunt, and Lamar Hunt, along with the help of some Arab sheiks and a Lebanese businessman, got a heck of a lot closer to cornering the silver market than r/WallStreetBets did at the end of January.īut, the subreddit did get everybody’s attention, and they did have some impact. Some members of the community claimed to not be a part of it and banned posts that mentioned silver.Sponsored Content - Here’s the headline from the Los Angeles Times back on August 21, 1988, recalls Rich Checkan of Asset Strategies International. Shortly after Reddit day traders drove up the prices of GameStop earlier this year, silver prices rocketed to their highest since 2013, driven by messages urging Reddit day traders to buy the metal and hike its price. 'That's why most of their users are coming to us for silver, because they're tired of just talking about one stock all day.' This indicates there was conflicting opinion among members of the subreddit, with some wanting to continue the GameStop short-squeeze, while others wanted to expand it to silver. Still, at least 30 to 40% of the WSB forum loves silver, he said. We literally have a section for Wall Streets Bets posts for silver that they've deleted or kept up.'īut anyone attempting to post about silver on WSB, including Bayoukhi, was banned from the community because the majority of them didn't want focus to stray from GameStop, he said. 'That's in our extras section, or the information section on Wall Streets Silver reddit. 'We've kept track of absolutely everything,' he said.

Silver short squeeze