February 17, 2026 | When China’s Away, the Silver Shorts Play

It’s been a brutal few days for precious metals, especially silver:

And — completely coincidentally — China’s gold markets are closed.

Here’s an AI summary of the situation:

The Shanghai Gold Exchange (SGE) and Shanghai Futures Exchange (SHFE) are closed from February 15 to February 23, 2026, due to the Lunar New Year holiday, with trading resuming on February 24, 2026. This closure significantly impacts global gold and silver markets, creating a liquidity vacuum and reducing trading activity, especially in Asia.

Key impacts of the closure:

• Reduced demand and liquidity: China’s dominant role in global gold trading means its absence limits price discovery and increases susceptibility to volatility.
• Price declines: Gold and silver prices dropped on February 17, 2026, amid thin trading, with spot gold falling to $4,898.53 per ounce and spot silver to $74.46 per ounce.
• Market sentiment reset expected: Analysts anticipate a potential “Sentiment Reset” upon reopening, as Chinese retail and institutional demand may drive price adjustments.
• Risk controls in place: Authorities have tightened margin requirements (up to 27% on physical markets) and restricted trading during holiday periods to manage risk.

Don’t Sweat the Temporary Stuff

What should we expect when the Asian silver markets reopen on the 24th? Probably a return to “normal,” meaning aggressive buying by entities that use silver and know that inventories are drying up.

So, do not pay attention to price action during periods when major markets are closed. Or do pay attention and use sudden, low-volume price drops to pick up cheap bullion or mining stocks. As always, keep stacking.

John Rubino February 17th, 2026

Posted In: John Rubino Substack

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