Investors have reacted to central bank easing measures by pumping almost $3 billion into gold exchange traded funds so far this month.
SPDR Gold Shares (NYSEArca: GLD) has seen net inflows of $2.1 billion in September while iShares Gold Trust (NYSEArca: IAU) has gathered $615 million, according to ETF flow data from IndexUniverse.
"Investors continued to pile into gold, sending holdings of physically backed exchange traded funds to a record high, with expectations that recent stimulus moves by central banks will support further strength in bullion," Reuters reported Tuesday.
GLD is the largest gold ETF with about 1,327 metric tons of bullion valued at $75.2 billion.
The gold fund has gained 12% the past three months as investors flock to the precious metal on worries the latest central bank stimulus programs will debase global currencies, especially the U.S. dollar with the Federal Reserve launching QE3. . .View Full Article