Commerzbank: Gold, Palladium ETF Holdings Decline
Exchange-traded-fund holdings of gold and palladium have fallen,says Commerzbank. Gold prices slid Tuesday as the Dow JonesIndustrial Averagegained nearly 5% from its low to its high. “The price slide was accompanied byhigh outflows from the gold ETFs. Holdings in the gold ETFs tracked byBloomberg were reduced by 7.4 tonnes in all, while the SPDR Gold Trust in theU.S. even lost a good 12 tonnes,” Commerzbank says. Meanwhile, analysts pointout that previously high-flying palladium, the strongest commodity in 2017, hasnow shed more than $140 from its mid-January high. “Palladium also sawsignificant outflows from its ETFs yesterday, meaning that outflows frompalladium ETFs have totaled more than 100,000 ounces, or 8%, since the start ofthe year,” Commerzbank says.
By Allen Sykoraof Kitco News; asykora@kitco.com
CPMGroup's Christian: Bitcoin Not Seen As Alternative To Gold
Wednesday February 07, 2018 09:33
JeffreyChristian, managing partner with the consultancy CPM Group, says many investorsdo not see bitcoin as a meaningful alternative to gold but for some time havebeen investing in stocks instead of the precious metal. “I don’tthink most physical gold investors and gold stock investors see bitcoin as analternative to gold and gold shares,” Christian says, sharing comments he madeto The Northern Miner. “I know our clients, who tend to be more intellectuallyoriented and perhaps more longer-term oriented, see bitcoin as something theywould day trade, but they wouldn’t take a position overnight because they seeit as the ultimate fiat currency backed by nothing and no one, and theantithesis of gold. But I’d make a bigger point, too: I don’t think bitcoin isdistracting many people from gold. What’s distracting people from gold is thestock market. If you look at the cryptocurrency market - bitcoin and the others- it’s less than $200 billion in open interest, value outstanding and it’sfewer than a million investors.”
By Allen Sykoraof Kitco News; asykora@kitco.com
RBC'sGero: Gold Hurt By Interest Rates, Dollar, Stock Volatility
Wednesday February 07, 2018 09:33
Comex Aprilgold has fallen to its lowest level innearly a month. “Gold holders are negatively reacting tointerest rates, the [stronger] dollar and global volatility in stocks, and sogold is not yet performing its safe-haven function to hedge for inflation,” says GeorgeGero, managing director with RBC Wealth Management. He also cites a recent “rush to cash,” which often happens whenequities swoon. Around 9:20 a.m. EST, April gold was down $5.50 to $1,324 anounce and bottomed at $1,322.10, its weakest level since Jan. 11.
By Allen SykoraFor Kitco News
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