With the price of gold having hit multiple record highs in recent weeks, hedge fund managers are now beginning to turn their attention to silver as the next potential precious metal momentum play, according to a report by Kitco.

The report cites the latest trade data from the Commodity Futures Trading Commission as showing that while the gold/silver ratio remains fairly elevated, trading above 88 points, silver still has solid momentum as gold’s run starts to weaken.

According to the CFTC disaggregated Commitments of Traders report money managers increased their speculative gross long positions in Comex silver futures by 7,963 contracts to 53,484 for the week ending 19 March, with short positions falling by 3,365 contracts to 16,362.

The silver market has seen its net bullish positioning increase for three consecutive weeks, and is now net long by 37,122 contracts, its highest level since April 2022.

Despite a significant increase in bullish speculative positioning, the silver market is still well below the levels seen in early 2020, when prices rallied towards $30 an ounce.