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WGC: ETFs Post Gold Outflows Of 38.6 Tonnes In July

Kitco News

(Kitco News) - Holdings of gold by exchange-traded funds around the world fell by 38.6 tonnes in July to 2,393.6 tonnes, the World Gold Council reported Tuesday.

This, along with a 2% decline in the gold price during June, pushed assets under management in gold ETFs lower to $94 billion from $98 billion in June, the gold industry organization said.

The ETFs trade like a stock but track the price of the commodity, with metal put into storage to back the shares. They give investors access to the price of gold without having to worry about assaying or storage.

ETF gold outflows occurred in July from all regions around the world, but the most occurred in North America, where gold holdings fell by 25 tonnes, the WGC said. European ETF holdings fell by 8 tonnes, while those listed in Asia fell by 5.1 tonnes. Other parts of the world lost 0.6 tonne.

Among individual ETFs, SDPR Gold Shares and iShares Gold Trust led the declines in North America, losing 19 and 6.4 tonnes, respectively. In Europe, Source Physical lost 14.8 tonnes, the council said. The Bosera Gold ETF in China lost 5.6 tonnes.

Meanwhile, in Europe, iShares Physical Gold added 18 tonnes of holdings.

For the year to date, global gold ETFs still have net inflows. WGC data show that holdings are up by 22.3 tonnes since the start of the year, mainly thanks to 44 tonnes of inflows in Europe. North American ETF holdings have fallen by a combined 20.2 tonnes since the end of 2017.

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