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Gold ETFs show resilience amid global economic shifts   Recently, the World Gold Council published their Gold ETF Commentary for the September 2024. The Report said, once again, the region saw FX hedging related inflows, albeit at a slower pace than August, driven mainly by continued strength in local currencies against the dollar.   Asian funds attracted US$175mn in September, extending the region’s inflow streak to 20 months. India again saw strong inflows, driven by factors not too dissimilar from previous months. At the same time, the strong gold price momentum and elevated geopolitical risk were contributors.   Increasing net longs were mainly contributed by money managers – their net positions reached 793t as of September, 8% higher than the end-August level and 84% above the H1 average of 430t. Similar to previous months, gold’s eye-catching performance and investors’ rising bets on the Fed’s future rate cuts were main drivers. In the context of Fed Rat...

Gold ETF inflows continued, but at a significantly lower pace   Announcing October highlights World Gold Council (WGC) reports that the Gold-backed ETFs and similar products (gold ETFs) recorded their 11th consecutive month of net inflows during October, matching the record number of positive monthly flows set in April 2006.   Gold ETF holdings increased by 20.3 tonnes (t), +US$1.4bn or 0.6% of assets under management (AUM), during the month as the gold price moved mostly sideways, finishing slightly below US$1,900/oz. Net inflows of 1,022t (US$57.1bn) in 2020, so far, have driven global gold ETF holdings to a new all-time high of 3,899t (US$235bn in AUM). By furnishing monthly regional overview, WGC reported positive inflows continued during October, albeit the lowest monthly increase in 2020, as most risk assets, like stocks, were lower on the month. Nearly all the net inflows came from European funds which added 20.2t (US$1.4bn, 1.4% AUM).  North American funds add...

Gold-backed ETFs experienced small outflows in May Holdings in global gold-backed ETFs and similar products fell marginally in May by 2.2 tonnes (t) to 2,421t, equivalent to US$141mn in outflows as consistent European fund growth was offset by outflows in North America, early in the month, and in Asia. Global assets under management (AUM) in US dollars rose 1% to US$101bn as the price of gold rallied 1.7% during May. Year to date, global gold-backed ETFs have lost 0.5% in assets (19t, US$535mn), mostly due to heavy outflows in February, April and early May. However, higher uncertainty and market volatility have supported flight-to-quality flows into gold-backed ETFs in recent weeks. Regional fund flows: Holdings in European funds rose by 15.9t (US$627mn, 1.3%), North American funds had outflows of 13.7t (US$580mn, 1.2% AUM). Funds listed in Asia decreased by 4.1t (US$171mn, 6%) & other regions had outflows of 0.5t (US$17mn, 1.3%). Individual fund flows: ...

8% higher over the first two months of the year According to the reported by World Gold Council, after four straight months of inflows, holdings in global gold-backed ETFs and similar products fell in February by 33 tonnes (t) to 2,479t, equivalent to US$1.3bn in outflows. Global assets under management (AUM) fell by 2% in US dollars to US$105bn over the month. However, global gold-backed ETF flows remain positive on the year (US$1.7bn, 2% AUM) on the back of strong inflows in January. The primary driver of global outflows was North American funds, as momentum investors took profits using these, the most liquid of the US-based funds. However, we continued to see inflows into low-cost ETFs, a factor we believe is linked to strategic allocations. Funds in Asia also experienced outflows of 5%, while European and Other regions were flat. We continue to see inflows into UK-based funds, likely driven by Brexit. The 506t of current holdings stands at an all-time high. Net...

Global gold-backed ETFs grew 3% in 2018 Holdings in global gold-backed ETFs and similar products rose by 69 tonnes (t) to 2,440t in 2018, equivalent to US$3.4bn of inflows. Global gold-backed ETFs grew 3% in 2018, driven by strong growth in European funds and increased global inflows during December.** This is the first time since 2012 that the value of total gold-backed ETF holdings has finished the year above US$100bn.   2018 Regional flows shows, holdings in European funds rose by 96.8t (US$4.5bn, 10%) while North American funds saw outflows of 13.4t (US$667mn, 1.3% AUM). Funds listed in Asia lost total assets of 4.7t and had outflows of US$69mn** and other regions lost 9.7t (US$393mn, 29%). At Individual flows front Xtrackers Physical Gold in Germany led global inflows, adding 46t (US$1.9bn) and growing 295% on the year and iShares Gold Trust led North American inflows with 36.7t (US$1.6bn, 16%). SPDR Gold Shares led global outflows, losing 49.8t (US$1.8bn, ...

US potential enough for a recession in either 2019 or 2020 Long-dollar hedged gold is now higher on the year, rallying over 6% in Q3 Holdings in global gold-backed ETFs and similar products rose in November by 21.2 tonnes (t) to 2,365t, equivalent to US$804mn in inflows, marking the second consecutive month of net inflows. Global gold-backed ETF flows are now positive in US dollar terms on the year. The price of gold was little changed (+0.2%) and global assets under management (AUM) rose by 1.1% in US dollars relative to October.   Global stock markets remained volatile, although they ultimately ended the month mixed. Oil performance was a key story as the commodity fell more than 22% on the month amidst supply concerns. The US 2/10 Treasury yield curve flattened to near-low prices on the year as investors became concerned that US economic conditions may have peaked and could be showing potential for a recession in either 2019 or 2020. Long-dollar hedged gold...