The Weird Reason Gold Will Head Still Higher
Oddly, ETFs that track the yellow metal aren’t gaining new money, a paradoxical bullish sign, says market sage.
When gold prices rise, especially after a tumble, fresh money usually rushes into the exchange-traded funds (ETFs) that track the shiny metal. Not this time, though.
The well-respected newsletter, McClellan Market Report, finds that the two biggest such funds, SPDR Gold Shares and iShares Gold Trust, aren’t getting investor inflows—they’ve been flat for a while.
The analysis concludes that’s a bullish sign for bullion. Historically, of course, gold benefits amid economic turmoil, like what the coronavirus triggered last spring.