Silver Short Trade Gets Crowded as 3-Month Put-Call Skew Rises to Its Highest Level Since Early July

The short silver trade is becoming crowded. Silver's 3-month put-call skew has risen to -3 points, its highest level since early July.
The metric measures the relative cost of put options to call options. It is up 10 points over the last 4 weeks, signaling growing demand for bearish bets on silver prices, and has been higher only 2% of the time over the last 12 months.
Meanwhile, speculative investors, including hedge funds and commodity trading advisers (CTAs), sold $2.2 billion in silver futures over the 3 weeks ending October 13. As a result, their net long positioning has fallen to just $1.7 billion, the lowest in at least 2 years. For perspective, it stood at $8.5 billion in December 2025.
The post describes investors as extremely bearish on silver.