Gold ETFs Witness Fourth Consecutive Year of Sell-Off Amid Fed Easing

Reported 2 days ago

Despite a backdrop of record-high gold prices and monetary easing by the Federal Reserve, investors continued to sell off gold-backed exchange-traded funds (ETFs) for the fourth year in a row. After a brief rebound due to anticipation of interest rate cuts, sales accelerated following the US election as a stronger dollar led to declining bullion prices, with investors shifting their focus towards equities and Bitcoin. The demand for gold ETFs, which spiked during the pandemic, waned as higher interest rates made bullion less attractive and geopolitical tensions prompted a preference for physical gold.

Source: YAHOO

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