Business

Move over GameStop. Reddit traders are targeting silver now.


USA Today's personal finance and markets reporter Jessica Menton breaks down how hedge fund day traders are being wrecked by Reddit users.


Futures contracts for the precious metal jumped to their highest level in almost eight years Monday, extending recent gains as the Reddit-fueled buying frenzy spilled over into the commodities market.


On Twitter, #silversqueeze was trending as investors turned their attention to the latest market strategy to emerge from the “WallStreetBets” forum on Reddit.


The online army of Reddit traders have over the past week rallied to defend out-of-favor companies such as struggling videogame retailer GameStop and theater chain AMC Entertainment, defeating hedge funds that had bet the shares would fall by selling them short, in a stunning reversal of financial power transfixing Wall Street.


“CITADEL IS THE 5TH LARGEST OWNER OF SLV,” a WallStreetBets user wrote Sunday , referring to the ticker symbol for iShares Silver Trust.


Money managers have had a net long position on the metal since mid-2019, according to data from the Commodity Futures Trading Commission, Bloomberg reported.






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