Global gold exchange-traded funds (ETFs) have had their worst half-year performance since 2013, losing $6.7 billion since the start of the year, and total ETF holdings fell by 120 tonnes to 3,105 tonnes of gold during the period, a new report from the World Gold Council showed.
Global gold ETFs saw positive monthly inflows for the second month in a row, attracting $1.4 billion in June. These inflows were across all regions, with all but North America posting positive gains, with the exception of North America, which posted a slight loss for the second month in a row.
Global gold trading volume across markets averaged $195 billion per day in June, down 9.5% month-on-month, but global gold market liquidity averaged $210 billion per day, exceeding the first quarter average ($182 billion per day).
European funds added $1.4 billion in June, helping to reduce outflows during the first half to $4.9 billion, however, the funds recorded their worst performance during the period since 2013 (-$8 billion).
Asia extended its streak of inflows to 16 months, attracting $560 million in June, supported by China, which added $429 million, bringing the region’s inflows to $3.1 billion in the first half, a record performance for the region.
Outflows from North America reached $573 million in June, the largest outflow in three years at $4.9 billion in the first half, amid a strong dollar and continued gains in equities, while geopolitical risks limited losses.
