ETF Database submits: Thanks to increased worries over the fiscal health in a variety of developed markets, many investors have sought to protect their portfolios from declining fiat currencies by buying up commodities. In response, a host of ETF issuers have created a variety of new products allowing investors to establish exposure to precious metals, including both commodity-specific funds and physically-backed products offering exposure to multiple precious metals.
Today’s gold market is being defined by two trends: aggressive selling by investors in North America through exchange-traded funds, and aggressive buying by consumers in Asia.
But for now, the ETF investors are overwhelming everyone else.
Gold prices settled below US$1,390 an ounce on Thursday, and after five rough trading days in a row, they are approaching the lows that were reached during last month’s dramatic collapse.
For previous articles by the author go to: Gordon Gekko's Blog - http://www.gekkosblog.com They just showed their hands. The paper Ponzi pyramid is wobbling. It’s time to go in for the kill. Let me explain. But first let’s get a handle on what’s happening:
ETF Database submits: As the U.S. economy continues to struggle and more intervention from the Fed seems inevitable, the dollar has been battered in currency markets. The greenback has already lost close to 8% over the past few months against the world’s other major currencies, and while a Chinese rate hike earlier this week helped to temporarily stem the losses, the downward has now resumed.