Investment case
Silver is off to a good start to the month (+5%) after rallying strongly by 6%+ in July, outperforming gold prices and therefore confirming our “outperformance” thesis outlined in our previous reports.
SIVR: After hitting our target of $15.90/share last month, we believe that SIVR will continue to push strongly higher this month, mainly because 1)the macro backdrop is friendly for the precious metals complex and thus conducive to stronger monetary demand, and 2)there is plenty of dry powder among speculative funds to deploy on the long side, contrary to gold.
In this