On June 24, ProShares Ultra Silver ETF (AGQ) declined 9.53% in regular trading, trading at $67.0/share, with turnover of $77.08 million. As a 2x leveraged silver ETF, the fund amplified losses in the underlying metal as spot silver extended its selloff.
On the news front, Bank of America stated that it expects the Federal Reserve to raise interest rates three times — in September, October, and December — by 25 basis points each. The CME FedWatch tool showed traders now pricing in an 89% probability of a December rate hike, a sharp increase from before the Fed meeting last week. Rising rate expectations strengthened the dollar and pressured non-yielding assets including silver.
Additionally, multiple banks in China have aggressively tightened precious metals trading leverage. Since early June, at least seven banks including major state-owned institutions have raised margin ratios on gold and silver deferred contracts from approximately 100% to 120%, with some reaching as high as 140%. One bank announced plans to fully discontinue personal precious metals trading by month-end, reflecting heightened institutional caution toward precious metals volatility.
ProShares Ultra Silver ETF seeks daily investment results that correspond to two times the daily performance of silver bullion. It invests in financial instruments including swap agreements, futures contracts, and options rather than directly in any commodity.
(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)
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