Tuesday 13 September 2011
Gold & Silver ETF Short Term Positive Inflows - 13 September 2011
As of Friday's(09.09.2011) close the metal held in trust for GLD was worth about $73.9 billion.
All five of the gold ETFs sponsored by the World Gold Council also reported an increase, of 9.6 tonnes to a collective 1,543.66 tonnes of gold metal (about 49.6 million ounces worth $91.9 billion).
GLD and most physical-backed gold ETFs add metal and increase the number of shares in the trading float in response to periods of aggressive buying pressure – when there is more positive liquidity than negative liquidity. The reverse is also true.
iShares COMEX Gold Trust (IAU), now our preferred gold ETF, also reported positive money flow, adding 1.12 tonnes to their metal holdings, to show 168.06 tonnes of good-delivery gold bars. IAU's expense ratio is lower than GLD's (0.25% vs 0.40%), but liquidity and option depth is better with GLD.
Metal holdings for BlackRock's iShares Silver Trust (NYSE:SLV) increased this past week as SLV authorized market participants issued new shares in return for adding 65.13 tonnes of allocated, LBMA-approved commercial good-delivery silver bars, held by SLV's custodian in London (JP Morgan Chase, London). Note that we saw positive money flow into both gold and silver ETFs even though the USD price of the metals was lower.
All five of the gold ETFs sponsored by the World Gold Council also reported an increase, of 9.6 tonnes to a collective 1,543.66 tonnes of gold metal (about 49.6 million ounces worth $91.9 billion).
GLD and most physical-backed gold ETFs add metal and increase the number of shares in the trading float in response to periods of aggressive buying pressure – when there is more positive liquidity than negative liquidity. The reverse is also true.
iShares COMEX Gold Trust (IAU), now our preferred gold ETF, also reported positive money flow, adding 1.12 tonnes to their metal holdings, to show 168.06 tonnes of good-delivery gold bars. IAU's expense ratio is lower than GLD's (0.25% vs 0.40%), but liquidity and option depth is better with GLD.
Metal holdings for BlackRock's iShares Silver Trust (NYSE:SLV) increased this past week as SLV authorized market participants issued new shares in return for adding 65.13 tonnes of allocated, LBMA-approved commercial good-delivery silver bars, held by SLV's custodian in London (JP Morgan Chase, London). Note that we saw positive money flow into both gold and silver ETFs even though the USD price of the metals was lower.
