Daily Gold Market Report

Global Gold-Backed ETFs
A Mixed Picture in November with North American Gains and European Losses

(USAGOLD – 12/07/2023) Gold prices are slightly up this morning, eyeing resistance at $2,050 per ounce, coinciding with signs of stabilization in the U.S. labor market, as the quantity of American workers seeking first-time unemployment benefits shows little change from the previous week. Gold is trading at $2,035.21, up $9.66 cents. Silver is trading at $23.91, up 1 cents. In November, gold-backed ETFs saw decreased outflows compared to October, according to the World Gold Council. Global ETFs had net outflows of $920 million and a physical holding reduction to 3,236 tonnes. Despite this, AUMs increased by 2% to $212.2 billion, aided by gold prices exceeding $2,000 per ounce. North American ETFs reversed a five-month trend of redemptions with net inflows of $659 million, while European funds continued to see withdrawals for the sixth consecutive month, attributed to high opportunity costs and strong local currencies. Asian funds experienced modest inflows.

Overall, global ETFs faced outflows of 235 tonnes in the first 11 months of 2023, with total holdings down 17% from their October 2020 peak. AUMs dropped by $13.7 billion during this period, largely due to significant outflows in Europe, marking one of the worst year-to-date performances in the region’s history.