Gold ETFs have seen net inflows for six consecutive months – Commerzbank
12.11.2024, 14:38

Gold ETFs have seen net inflows for six consecutive months – Commerzbank

By contrast, Gold ETFs recorded net inflows for the sixth consecutive month in October, Commerzbank’s commodity analyst Carsten Fritsch notes.

Gold ETFs see net inflows for the sixth consecutive month

“According to the World Gold Council, these amounted to 43 tons. This means that almost 164 tons of Gold have flowed into ETFs since May. For the first time this year, Gold ETF holdings were also higher than at the end of 2023, meaning that the net outflows in the first four months of the year were more than reversed.”

“In October, there were net inflows in North America (30 tons) and Asia (23 tons), but net outflows in Europe (11 tons). According to the WGC, the inflows in North America were particularly due to the uncertainty in the run-up to the US elections. The inflows in Asia largely occurred in China, where the WGC reported a record inflow for a month.”

“This is also noteworthy because traditional Gold demand for jewellery, bars and coins in China has recently been weak. However, it remains to be seen whether the shift in Gold demand towards ETFs is here to stay. ETF outflows in Europe were widespread across all major markets. The WGC attributes this to rising yields and the weakness of local currencies.”

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