SPDR Loses 11.97 Tonnes of Gold in a Single Day
Holdings of the SPDR Gold Trust fell by 11.973 tonnes to 1,045.644 tonnes, at a time when spot gold is retreating toward $4,000 per ounce.
Holdings of the SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, fell by 11.973 tonnes from the previous day to 1,045.644 tonnes, according to data published by East Money.
This decline coincided with spot gold sliding toward $4,000 per ounce, after the metal briefly touched that level during today's trading.
Exchange-traded fund holdings serve as an indicator of institutional investor appetite for gold, as they rise when investors buy the metal through funds and fall when capital is withdrawn.
The market is watching to see whether this daily outflow marks the beginning of a broader wave of withdrawals from gold funds, at a time when metal prices are influenced by US interest rate expectations and the strength of the US dollar.
What do these terms mean?
Exchange-Traded Fund (ETF): An investment fund traded on a stock exchange like a share, tracking the price of an asset such as gold without the need to physically hold the metal itself.
Holdings: The amount of gold or assets owned by the fund on behalf of investors, typically measured in tonnes or ounces.
Ounce: A unit of weight for precious metals equivalent to approximately 31.1 grams, used globally to price gold.
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