Stock Track | ProShares Ultra Silver Plunges 5.02% in Pre-Market on Commodity Guru's Virus Warning

Stock Track05-14 21:22

ProShares Ultra Silver (AGQ) tumbled 5.02% in pre-market trading on Thursday, extending recent weakness in the leveraged silver ETF.

The sharp decline follows renewed concerns about the broader commodity complex sparked by warnings from a prominent commodities analyst. Alexander Campbell, a former head of commodities at hedge-fund giant Bridgewater, is ringing alarm bells over a deadly hantavirus outbreak on a luxury cruise, suggesting it could negatively impact oil and transportation-sensitive markets. Campbell had previously made a prescient call warning of a silver pullback last year.

In a Substack post, Campbell detailed taking protective action in his portfolio, selling oil and adding defensive positions due to fears the virus could "get out of hand." Investors appear to be applying this bearish outlook to silver, a key industrial commodity, on concerns that potential lockdowns or economic slowdowns from a health crisis could dampen demand.

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