Gold exchange traded funds (ETFs) were on tap for a flat open Tuesday while prices for the precious metal drifted near $1,500 an ounce. The dollar weakened in premarket action after rising Monday following the U.S. credit-outlook downgrade from Standard & Poor’s.
SPDR Gold Shares (NYSEArca: GLD) is the largest gold ETF with more than $59 billion in assets and nearly 40 million ounces of bullion. The metal ETF was up roughly 5% year to date through April 15.
“Gold remains comfortably underpinned with short-term inflation pressures and economic woes triggering some fresh safe haven inflows,” said VTB Capital analyst Andrey Kryuchenkov, according to Dow Jones Newswires.
Yet silver ETFs such as iShares Silver Trust (NYSEArca: SLV) have been shining brighter with nominal silver prices hitting levels not seen in over three decades. The ETF has gained more than 40% so far this year and holds over 11,000 metric tons of silver.
SPDR Gold Shares
Full disclosure: Tom Lydon’s clients own GLD and SLV.
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