Why are silver ETFs like SLV shorting COMEX futures?

Why are silver ETFs like #SLV shorting #COMEX futures?

In a recent interview on CNBC, #GoldmanSachs Global Head of Commodities Jeff Currie curiously mentioned that:

“The shorts are the ETFs.

The ETFs buy the physical, they turn around and they sell on the COMEX.”

Which is a surprising comment, given that Jeff is apparently authorized to talk on behalf of mega-investment bank Goldman Sachs, one of the SLV silver trust’s authorized participants that can add or redeem 50,000 share baskets.

Because if SLV is just a trust, that receives customer money when new shares are added, that JP Morgan reportedly uses to go out and buy metal to deposit in the trust, what exactly is the ETF hedging?

-

To get your audiobook copy of #TheBigSilverShort go to:
https://arcadiaeconomics.com/thebigsilvershortaudio/

To get the paperback version of “The Big Silver Short” go to:
https://www.amazon.com/gp/product/B08BFL34T9/ref=dbs_a_def_rwt_hsch_vapi_tkin_p1_i0

-

To buy or sell gold, #silver, #platinum, or #palladium through our #preciousmetals sponsor #MilesFranklin, who’s offered to match or beat any price in the country, email:
[email protected] Or call: 833-326-GOLD (4653)

(you can also ask about their gold for silver swap program)

-

To support the petition to ban #JPMorgan from trading in the #gold and silver #markets go to:
https://www.ipetitions.com/petition/ban-jp-morgan-from-trading-gold-and-silver

-

Click here to subscribe to Arcadia's Youtube channel:
http://bit.ly/2t1HKOj

-

To support the show go to:
https://arcadiaeconomics.com/supporttheshow/

-

Follow Arcadia Economics on Twitter:
https://twitter.com/ArcadiaEconomic

-

To contact Arcadia go to:
https://arcadiaeconomics.com/contact/

-

For Arcadia’s precious metals trading and option consulting email:
[email protected]