Why Is Silver Surging?

Watch on YouTube ↗  |  January 27, 2026 at 20:27  |  2:55  |  Bloomberg Markets
Speakers
Mike McGlone — Senior Commodity Strategist, Bloomberg Intelligence

Summary

Mike McGlone of Bloomberg Intelligence discusses commodity markets, focusing on natural gas and silver. He argues natural gas's cold-weather rally and front-contract squeeze look like a classic peak, and he calls silver a worthy short around $100 after its parabolic move. He also notes copper was a good short near $6 and highlights silver ETF holdings as a source of potential supply.

  • Natural gas has been range-bound between roughly $2 and $5 for almost 20 years.
  • A second colder-than-normal winter has squeezed the front natural gas contract into expiration.
  • Mike McGlone sees the front-contract squeeze as a classic peak with supply likely to respond.
  • Silver has rallied sharply, and McGlone views it as extremely expensive versus crude oil, electricity, and copper.
  • McGlone calls silver a worthy short around $100 and expects sharp down days.
  • Silver ETF holdings total 843 million ounces, and holders have begun selling into the rally.
  • Copper was a worthy short around $6 and is now ticking lower.
  • The host asks about China's role in silver demand and gold's momentum.
Ideas
Mike McGlone Senior Commodity Strategist, Bloomberg Intelligence 0:00
Natural gas upper-range peak likely fades.
Natural gas has been range-bound between roughly $2 and $5 for almost 20 years, and every time it reaches the upper end of that range it falls. The current second colder-than-normal winter has squeezed the front contract into expiration—March trading about $3.70 with only ~20,000 open interest versus ~350,000 in the next contract—which McGlone says is usually a classic peak. With roughly eight months of summer ahead to bring on more supply, as natural gas historically does, the risk is that prices roll back down from the upper range.
UNG HIGH
Mike McGlone Senior Commodity Strategist, Bloomberg Intelligence 1:19
Silver parabolic rally is a worthy short.
Silver is the 'devil's metal' and is likely to put in an enduring peak this year. McGlone says silver is a worthy short around $100 because the rally is parabolic and extremely expensive relative to crude oil, electricity, and copper, with the velocity of the move at record highs versus those assets. He expects sharp 10% down days as it trickles back down, and notes a large supply overhang: 843 million ounces in silver ETFs, with those holders already selling into the rally and total ETF holdings down 2% this year.
SILVER HIGH
Mike McGlone Senior Commodity Strategist, Bloomberg Intelligence 1:22
Copper short around $6 working.
McGlone says copper was a worthy short around $6, and it is now ticking down a little, validating the bearish view. The comment is a brief but explicit bearish call on copper at that price level.
COPPER MED
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This Bloomberg Markets video, published January 27, 2026, features Mike McGlone discussing UNG, SILVER, COPPER. 3 trade ideas extracted by AI with direction and confidence scoring.

Speakers: Mike McGlone  · Tickers: UNG, SILVER, COPPER