Investors have been shoveling cash into the largest gold ETF on speculation central banks are gearing up to launch additional stimulus to support financial markets.
SPDR Gold Shares (NYSEArca: GLD) was the top-selling ETF for the week ended Aug. 22 with inflows of $1.3 billion, Reuters reports.
The gold ETFs’ weekly inflow was the 11th largest in its history and the highest since November 2011, according to the article. [Beyond GLD: Gold ETFs to Play the Breakout]
“Investors bought SPDR Gold Fund shares ahead of the Fed minutes to capitalize on inflation pressures that could be expected to boost gold, which is priced in dollars,” Reuters reported. [Gold ETF Investors Buying the Breakout]
GLD was on track for a weekly advance of more than 3%.
SPDR Gold Shares
Full disclosure: Tom Lydon’s clients own GLD.