There were a number of important shifts in market behavior that occurred during early February’s dramatic—albeit brief—correction in the stock market. Here is one clear example: The largest gold exchange-traded funds (ETFs) saw major outflows amid the swings and gyrations in equities last month.
There’s a dusty old adage that goes something like, “You can’t reinvent the wheel.” Yet many fund managers and financial advisors would like you to believe that they have indeed reinvented the wheel. This time, the new revolutionary invention is called an ETF.
While gold has proven to be a far better store of value than any currency over any long-term time horizon, and is thus chosen by many investors as an inflation hedge, its price fluctuations are generally rather volatile in the short run. Under normal circumstances, gold’s perceived trustworthiness over riskier investments attracts a fair amount […]
So-called gold exchange-traded funds (ETFs) have risen in popularity among precious metal investors over the past five years or so. These investment vehicles offer the same conveniences as trading stocks while providing exposure to the price of gold. However, one of the main appeals of ETFs is the diversity they can offer in a single […]
Silver prices have been pummeled since the beginning of October, shedding over 15% from their peak this year above $20 per ounce. As a result, the silver exchange-traded funds (ETFs) that track the silver price have also fallen sharply from their highs earlier this autumn. What does 2017 hold in store for silver ETFs? Moreover, […]
Gold prices have slipped below unchanged in New York, giving up modest overnight gains. Industrial metals have resumed their “Trump Rally,” with copper futures hitting prices last seen in July of last year, and iron ore and steel prices rising high enough to trigger limit breakers in Chinese markets.
Safe havens have again gotten a great deal of attention on the financial markets as we approach the bitter end of the 2016 presidential race.
Each week, the commitment of traders (COT) report gives a snapshot of activity in the futures markets. When it comes to gold, the COT unsurprisingly showed a huge drop in the speculative long positions on gold as prices fell more than $60 per ounce on the week. Although this may seem like a devastating blow […]
There is a well-known strategy used by Wall St traders that is also relevant for the gold market: “buying the dips.”
We may finally be seeing the wind leave the sails of the gold mining sector after a spectacular start to the 2016 calendar year.
The silver market has benefited greatly from the troubles of the global economy—and these problems don’t appear to be abating anytime soon.
The iShares Silver Trust (SLV) experienced a considerable pullback at the end of July, taking a breather from its steady ascent throughout the first half of the year. Now, the most popular exchange-traded fund (ETF) backed by silver is once again climbing higher.
Over the last month, gold prices have risen an impressive 6%. This was kicked off by the most recent unemployment report that was far worse than expected. Precious metal prices have surged since then, with gold advancing from $1,210/oz to above $1,285/oz over that time.
Despite the vastly greater benefits of holding physical precious metals compared to an exchange-traded fund (ETF) share or contract, there’s no denying that these funds are used as a yardstick of sorts for market sentiment regarding gold and silver. Here, we will consider the reasoning behind both rising and falling ETF prices in the precious […]
Despite the considerable pullback during May for precious metal prices, the leading gold ETF (the SPDR Gold Trust, GLD) has rallied 2.9% since the end of last week. This roughly coincided with the huge $30 jump in gold prices following dismal employment data on Friday, helping push the yellow metal back above $1,240/oz.
As quickly as investors can pull their money out of equity funds, they are piling that cash into precious metals just as fast. This pattern has accelerated recently and only confirms that precious metals tend to outperform their counterparts in the stock markets during times of economic uncertainty.
There are generally three different viewpoints you will find regarding so-called gold stocks or gold funds: 1. Gold offers valuable diversity in a portfolio, and gold stocks are a convenient way to do so, possibly with leverage; 2. Gold offers valuable diversity in a portfolio, but gold stocks are not actually capable of doing so […]
The three benchmark U.S. stock indices were each down over 1% early on Tuesday morning; meanwhile precious metals have outperformed virtually every other asset class year-to-date (YTD). This has led many investors to pour funds into gold stocks. In general, “gold stocks” broadly include the popular exchange-traded funds (ETFs) backed by precious metals as well […]
As the door closes on the month of April, there’s been a great deal of action in the gold mining space. The sector got even more support when gold prices rose again on Friday, the last trading session of April. Below we explore why gold mining stocks and especially exchange-traded funds tracking these miners tend […]
The precious metals exchange-traded fund (ETF) market has been on a roll over the past several months. This is hardly surprising given the meteoric rise of the gold price from $1,050/oz to $1,240/oz thus far this year. Over the same period, silver prices rose from $14/oz to $17.20/oz. These impressive gains have naturally led their […]