GJ Town India

  US trade policy & geopolitical qualms led up exposure    Just the World Gold Council published their, Gold ETF Commentary, under the name Global flows stay hot, for the month of March and Q1 in review. Commentary said, trading activity across global gold markets in March came in at US$266bn/day – broadly in-line with the quarterly average of US$270bn/day.    LBMA OTC trading of US$136bn/day, resulted in a quarterly average of US$140bn/day. This marks a notable increase when compared to the 2024 daily average of US$113bn. Exchange volumes continued to rise in March, with COMEX taking the charge amid the strong gold price performance. Increased option activity supported North American ETF volumes, but global gold ETF activities still fell mildly month over month (m/m). Total net longs of COMEX’s gold futures fell 3% to 804t by the end of March. Net long positions held by money managers remained relatively stable at 599t, down slightly from 605t at t...

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...

Western activity picked global backed gold ETFs up in July   Recently, World Gold Council (WGC) published the Gold ETF Commentary, Western activity picked up in July report. Further in their; July in review, the WGC suggest that global physically-backed gold ETFs have now seen inflows three months in a row, adding US$3.7bn in July.   Notably, all regions reported positive flows this month with Western gold ETFs contributing the most. A combination of the July inflow and a 4% rise in the gold price pushed total global assets under management (AUM) 6% higher to US$246bn, a new month-end record.3 Collective holdings concluded July with a 48t increase, reaching 3,154t. Successive inflows over recent months have narrowed the y-t-d loss in global gold ETFs to US$3bn. And while collective holdings have fallen by 72t (-2%) so far in 2024, their total AUM rose by 15%, supported by a 17% increase in the gold price.  European and North American funds remain on the red for th...