Year-to-date, GLD is one of the top asset-gathering ETFs while investors have also poured money into IAU, SGOL and other gold products.
Demand for gold assets have surged this year. For instance, ETF flows into gold have expanded at their fastest pace since 2009. Physically backed gold ETF holdings are still one-third below the December 2012 peak, which suggest that prices can hold at about $1,200 per ounce.
However, emerging market demand for gold has not picked up yet. For instance, China has shown little demand, with the Shanghai Gold Exchange seeing little growth in volume. While the higher prices may have deterred Asian buyers, demand could pick up if prices persist in going higher, analysts said.
For more information on the Gold ETFs, visit our Gold category.
iShares Gold Trust
Tom Lydon’s clients own shares of GLD.