Price of Gold Drops Amid Selling of ETF’s Shares
January 17th at 12:00pm by Tom Lydon
streetTRACKS might be calling off the hunt for more storage space for all the gold after the redemptions of its exchange traded fund (ETF) this week.
streetTRACKS Gold Shares (GLD) had redemptions of 21.51 tons of gold on Wednesday, reports Simon Constable for TheStreet. The sell-off sparked the largest ever one-day decline for the fund. At one point, gold futures had fallen more than 3%. iShares COMEX Gold Trust (IAU) also ended the day down, losing 1.8%. IAU is much smaller than GLD, however, and holds 58 tons of gold bars to GLD’s 631.
This morning, gold saw a little rebound after Federal Reserve Chairman Ben Bernanke’s testimony before Congress, reports Atul Prakash for Reuters.
