Silver Up 5%

The activity in the precious metals market on Tuesday is pretty startling. COMEX silver futures are now up better than 5% at $33.25. The iShares Silver Trust has surged 4.57% to $32.28. The gold market is up roughly 3% on the session. The action appears to suggest that some short-sellers might be getting squeezed as sentiment in the near-term has been somewhat bearish in precious metals. Right now it remains unclear if buyers are stepping in because of fear and uncertainty over the deliberations in Europe, or if this has more to do with a better economic outlook and whispers about more QE. It seems possible, however, that big funds are buying gold and silver in case the Eurozone "resolution" falls apart or dramatically disappoints the market.