Contact us
CALL US NOW 1-888-GOLD-160
(1-888-465-3160)

Gold ETF Outflows vs. Physical Bullion Demand

  by    0   0

Alena Mikhan and Jeff Clark, part of Casey Research’s Metals Team, published a commentary this week countering the bearish sentiment surrounding the recent gold ETF outflows. While investors in the paper market may be selling gold, long-term physical holders are buying record amounts of bullion from the US Mint.

Since January 1, the holdings of gold-backed exchange-traded funds (ETFs) have dropped by nearly four million ounces (125 tonnes). February turned out to be the worst month for the world’s largest ETF, the SPDR Gold Trust (GLD), which saw its holdings drop to 39.7 million ounces (1,236.73 tonnes), its lowest level since October 2011.

If this were the only data investors looked at, they might conclude that “everyone is selling” and maybe even that the bull market is over. But these data are misleading.

That’s because while ETF holdings are declining, the physical market is seeing robust support. In fact, the US Mint – the bellwether for measuring demand of physical gold in the Western world – reports that sales of gold and silver coins are soaring.

Read the Full Commentary Here


Related Posts

The Fed’s Fundamental Problem

Inflation was running rampant for months before the Federal Reserve launched its inflation fight. As you’ll recall, we were told over and over again that inflation was transitory. But now that the central bank is on the job, most people are confident Powell and Company can get rising prices back under control. Perhaps they shouldn’t […]

READ MORE →

How Fed Easy Money Helped Fuel the FTX Crypto Collapse

The collapse of the FTX crypto exchange has been in the news. As SchiffGold analyst Tony wrote, “FTX isn’t the canary in the coal mine (that was Celsius, or one of the other firms that crashed this year). FTX is the coal mine, and it just collapsed.”

READ MORE →

The Employment Picture Isn’t as Pretty as They Want You to Believe

There are plenty of signs that the economy is teetering on the brink as the Federal Reserve ratchets up interest rates. The air is coming out of the housing bubble, PMI has tanked, more Americans are living paycheck to paycheck, and debt is spiraling upward. Those claiming the economy remains strong have one peg to […]

READ MORE →

Gold Is the Solution for Financial Crises — Not the Cause

Most people have a sense of history that goes back about two weeks. This is especially true in the world of investing and finance. As a result, people have a hard time seeing the big picture. For instance, a lot of people think the current inflation crisis was only due to the Fed failing to […]

READ MORE →

Ron Paul: Wreck the Economy Win a Nobel Prize

Ben Bernanke was one of the architects of the inflation you’re suffering from today. He won a Nobel Prize for his efforts. Bernanke rolled out quantitative easing to rescue the economy in the wake of the 2008 financial crisis. At the time, he swore it was a temporary emergency measure and that the Fed would […]

READ MORE →

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Call Now