Plus, there is GDX’s out-performance of the broader market. Friday is just one example, but it paints the picture. GDX lost just 0.21% on the same day when the S&P 500 plunged 2.1%.
One vital anecdote to remember: If GDX and related ETFs rise this year, that should still prove to be a good thing for GLD and rival funds. After all, there has NEVER been a year when gold prices have fallen and mining stocks have risen.
GDX/GLD Ratio Chart
Chart Courtesy: J.C. Parets Eagle Bay Capital
ETF Trends editorial team contributed to this post. Tom Lydon’s clients own shares of GLD.