benzinga62d ago
Gold's Friday plunge looked, at first glance, like a macro-driven collapse. Spot gold fell more than 12% in a single session, while silver crashed roughly 33%, one of the sharpest precious-metals selloffs in decades. But for ETF investors, the more revealing story wasn't the price drop, it was how gold and silver ETFs behaved when leverage and liquidity simultaneously broke down."This looks more like extreme whiplash and margin calls than a fundamental breakdown in demand for gold and silver," said David Miller, CIO at Catalyst Funds and portfolio manager of the Strategy Shares Gold Enhanced Yield ETF (BATS:GOLY). "Volatility doesn't invalidate the long-term bullish thesis on gold as a new primary reserve asset. Gold doesn't move in straight lines historically. Previous corrections like this have historically been entry points rather than exits when monetary and geopolitical uncertainty remain elevated."ETF Pricing Drifted As Liquidity VanishedDuring the crash, the iShares Silver Trust (NYSE:SLV) briefly traded at a premium of roughly 3.3% ...Full story available on Benzinga.com