WGC: Gold ETF Flows Turned Positive in May

SEATTLE (Scrap Monster): The latest report published by the World Gold Council (WGC) indicates that global gold-backed exchange traded funds (ETFs) recorded inflows during the month of May this year. The fund flows turned positive, ending the twelve-month streak of outflows.

The global gold ETF holdings surged to 3,088 tonnes. However, the collective holdings stood below the 2023 average of 3,363 tonnes by 8.2%. The stronger gold prices pushed the total AUM by approximately 2% to $234 billion, which is the highest level since April 2022, said the WGC report.

The global inflows were mainly driven by European and Asian funds. Europe recorded its first positive flow since May 2023. The region experienced inflows of $287 million, primarily driven by hopes about a possible rate cut by the ECB in early June. The Swiss and German funds witnessed strong inflows. Meantime, Asian region recorded fifteenth consecutive monthly inflow in May this year. The regional inflows totalled $398 million, although this happens to be the weakest inflow since November last year.

The North American fund flows turned negative in May 2024, following two consecutive months of inflows.

Also, the funds listed in other regions experienced minor outflows of $18 million.