Golden Parachutes: Investors Bail Back In
Dip Buyers and Institutional Bulls Bet Big on a Rebound, Dismissing the Crash as Mere Turbulence
If you blinked at the end of last week, you might have thought the great precious metals super-cycle had finally run out of steam. If you blinked again this morning, you likely missed the fire sale of the decade. After a historic rout that left speculative traders reeling, gold and silver are staging a massive comeback today, proving that for the metal bulls, the only thing scarier than a crash is missing the bottom.
Dip buyers have flooded back into the market with a vengeance, snapping up bullion at what many are calling a strategic discount. Spot gold climbed as much as 6.2 percent to hover near $4,950 an ounce, erasing much of the pain from its worst sell-off since 2013. Silver, arguably the more dramatic sibling in this metallic family, surged more than 10 percent to reclaim territory above $87 an ounce. The recovery has been swift, fueled by a softening U.S. dollar and a collective realization that the fundamental drivers of this multi-year rally, geopolitical anxiety and central bank accumulation, haven’t actually gone anywhere.

