A brutal stretch for silver’s leveraged contingent took a breather last week, as a surprisingly weak US jobs report jolted the rate outlook and sent the WisdomTree Silver 3x Daily Leveraged ETC sharply higher. The instrument closed Friday at $8.54, good for a 4.85% single-day gain and a weekly advance of 15.88%. Yet the pain is far from over — the product has shed more than 44% over the past 30 days, underscoring the punishing math of daily rebalancing in a volatile market.
The catalyst came from the US labor market. June saw just 57,000 new jobs added, far below the 110,000 economists had penciled in. The miss upended expectations for the Federal Reserve’s next move: the probability of a rate hike at the July meeting has now fallen below 20%. A weaker dollar provided an additional tailwind for the precious metal, pushing spot silver back above $60 to close the week at $62.42 an ounce.
The rebound aligns with classic seasonal patterns. Silver cratered roughly 30% during the first half of the year, and late June has historically marked a trough before a recovery that often begins in late July. Central banks are also feeding the optimism: 64% of them expect gold prices to rise, with some institutions eyeing levels above $5,000 by mid-2027. Given silver’s close correlation to gold, such sentiment tends to lift the white metal as well.
“Structural deficits in the US economy are long-term price drivers,” WisdomTree analysts have noted, echoing a view that keeps the firm constructive on the asset class despite the recent carnage. The ETC itself, however, remains firmly in oversold territory: the 14-day Relative Strength Index stands at exactly 36, just above the threshold typically considered oversold.
Should investors sell immediately? Or is it worth buying WisdomTree Silver 3x Daily Leveraged?
On the chart, a direct support level for the ETC sits at $8.14, while the first upside resistance is pegged at $9.86. For the underlying metal, the next hurdle is $65; a clean break above that would open the door toward the 200-day moving average near $69.97.
Meanwhile, WisdomTree is tweaking the product’s cost structure, though the change will not take effect until September 2026. The daily swap rate is slated to drop from 0.01248% to 0.00692%, effectively cutting the financing cost in half. The total expense ratio remains unchanged at 0.99%, and the ETC continues to manage roughly €330 million in assets, tracking the Solactive Silver Index synthetically.
That lower swap rate provides modest relief for holders, but it does not alter the fundamental mechanics — or the inherent dangers — of this triple-leveraged instrument. The daily resetting of the leverage factor means returns over longer periods can diverge wildly from the performance of spot silver, especially in choppy markets. The ETC’s annualized volatility has soared to nearly 150%, placing it firmly in the highest risk category. Leveraged products systematically erode capital in sideways or oscillating conditions, and the upcoming fee reduction, while welcome, does nothing to change that speculative reality.
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