ProShares Ultra Silver (AGQ) surged 5.02% during pre-market trading, reflecting a significant upward movement for the leveraged silver exchange-traded fund.

The rally in AGQ is driven by a strong increase in underlying silver prices. Spot silver has risen sharply, fueled by escalating geopolitical tensions in the Middle East, particularly concerns regarding potential U.S. military action against Iran, which has boosted safe-haven demand for precious metals.

Additionally, macroeconomic factors are supporting higher silver prices, including increased central bank and investment demand for hard assets, expanding fiscal deficits, and falling U.S. real interest rates. Several major financial institutions have raised their price forecasts for gold and silver, further bolstering market sentiment. Analysts and commentators have pointed to these combined factors as key drivers for the precious metals rally, which AGQ amplifies due to its leveraged structure.