Silver Physical Market Brief: 2026-08-03

Executive summary

Physical delivery activity for the new front-month (August 2026) continues, with 150 new contracts issued and stopped. This brings the month-to-date total to 853 contracts, establishing a solid start to the delivery cycle. The latest CFTC data shows that Managed Money remains net long, a position that is currently supported by the tangible demand for physical settlement seen in the early days of the August contract.

Delivery intentions (today + MTD context)

• Today's Activity: A total of 150 contracts were issued and stopped for the AUGUST 2026 COMEX 5000 SILVER FUTURES contract.
• Settlement Price: The settlement price for these deliveries was $57.667 USD.
• Month-to-Date (MTD): Today's activity brings the MTD total for the August contract to 853 contracts. This represents a steady continuation of deliveries for the new month, following an initial 703 contracts on July 30th and 27 on July 31st.

Warehouse stocks

CME Group does not publish daily warehouse stock levels for COMEX Silver futures.

COT cross-check

The latest CFTC Commitments of Traders (COT) report, as of July 31, 2026, provides a useful cross-check against the physical market activity: - Managed Money (Speculators): This group holds a net long position of 9,182 contracts (17,939 long vs. 8,757 short). - Producers/Merchants (Commercials): This group holds a significant net short position of -13,029 contracts (5,958 long vs. 18,987 short).

The net long positioning by speculators indicates bullish sentiment, which is currently consistent with the demand for physical metal seen in the initial 853 contracts delivered so far for the August cycle. The large commercial net short position is typical hedging activity and reflects their role as suppliers meeting this physical demand.

Risks and watchpoints

• August Delivery Pace: The key watchpoint is whether the current pace of delivery for the August contract will be sustained or accelerate. A strong follow-through would confirm robust physical demand.
• Positioning vs. Physical Divergence: A potential risk is a divergence where speculative net long positions increase further without a corresponding increase in the rate of physical off-take. This could suggest a disconnect between the paper and physical markets.
• Price vs. Volume: The settlement price has fluctuated recently. Continued monitoring of the relationship between price levels and the volume of delivery intentions will be crucial to gauge market conviction.