It's been a week since the Brexit vote. And silver, not gold, has been taking off.
Usually in lock-step with gold, silver has outperformed gold by roughly 9.2% over the last 4 days. Gold has been up 1.3%. Silver, on relatively high volume, has gone up more than 10%.
This graph shows silver in green, each day adding to its gains over gold, in white (both were normalized at 100 for the comparison). And we're again pointing out the suspicious volume, in red, at roughly 3:33 pm yesterday in SLV, which we commented on yesterday, almost a half hour before the day's close, (which was importantly also quarter-end).
By yesterday, silver had moved 4.5% relative to gold. Today, it moved another 4.5%, after opening again far higher on high volume.
Silver futures, too, show similar patterns to the ETF, and volume spikes. Our hunch is that a bigger play was at large here behind the scenes, possibly involving or culminating in the squeezing our of some silver shorts. Certainly, if it were a drive purely to protect against economic concerns, pertaining for example to Brexit, we would have expected to see the gold markets move in similar fashion.