Gold: After five months of tickets, in May the ETFs registered exits for US $ 1.8 billion

After five consecutive months of strong tickets, Last May, the Gold Global ETF funds registered net exits for US $ 1.8 billion equivalent to 19 tons. North America and Asia led the departures while Europe acted against the contrary. May capital outings implied a 1% drop in total assets under management of these ETFs.

All this occurred in the framework of The fall of the gold price in the first half of the month From US $ 390 the ounce to US $ 3,190 (He closed the month at US $ 315), but with a very good liquidity of the world metal market. The balance of the year is still positive with more than 322 net tons bought and a net flow of US $30,000 million.

Gold: What happened in May

• According to data collected by Bloomberg, ICE, WGC and managers, The Golden Golden ETFs with physical support lost US $ 1.8 billion in May, being the first monthly departure since last November. This, together with a slight recoil of the price of gold caused a 1% drop in total assets under the management of Golden Global ETFs, to US $ 374,000 million. The collective holdings of these ETFs decreased 19 tons, to 3,541 tons.

• The negotiation volume of Global Gold ETF was solid and far superior to the levels observed in previous years, despite a slight intermennsual fall.

• All regions experienced capital outputs in May, except Europe. North America suffered the greatest impact, and Asia reversed the strong impulse of April. Europe registered moderate tickets, while the funds in other regions experienced a small loss for the first time in six months.

• On the side of North America were registered net exits of US $ 1,500 million, for the first time since last January. According to experts, the temporary flexibility of tariffs between the US and China, better than expected, renewed the appetite for the risk of investors, which caused a strong rebound in the variable income, but a lower demand for gold as a safe refuge. In addition, the Fed maintained stable interest rates at its May meeting and the minutes showed a cautious position regarding decisions on fees in the middle of a panorama of persistent inflation and risks to the labor market.

• Regarding Europe, The Golden ETF funds experienced moderate tickets, adding US $ 225 million in May. Tickets in France more than compensated for the continuous exits of Germany and the United Kingdom. In fact, France has experienced stable tickets in the last three months. Experts believe that the factors that drive the growing demand for Golden ETFs in the Gallic country could be related to: slow economic growth and weakening consumer confidence; with the escalation of tariff threats by the Trump administration that attracted gold ETF tickets throughout Europe at the end of May; and the intensification of tax concerns and political instability.

While, in the case of Germany, capital exits could have been driven by the decrease in global commercial uncertainty, which increased appetite due to the risk of investors, before the new Trump tariff threats to Europe at the end of the month. Also in the United Kingdom, despite the rate cut of the Bank of England and the decrease in commercial risks after the agreement between the London and Washington, the golden ETF demand was stopped. In addition, experts warn that the lower gold prices yield called in local currencies could also have discouraged investors.

• For its part, Asia also registered capital exits for US $ 489 million in May, the first monthly loss since November 2024. China led the outputs, since the demand for refuge assets decreased due to the decrease in commercial tensions with the US and the subsequent rebound of the shares. In addition, the weakness of the price of gold in YUANs contributed further to capital exit. It should be noted that Japan registered its eighth consecutive monthly entry in May, although modestly.

• The funds listed in other regions experienced departures under US $ 27 million in May, ending a five -month running streak, mainly from Australia and South Africa.

• Regarding the world gold market as a whole, in May the negotiation volume averaged US $ 363,000 million daily in May, 18% lower than in Aprilbut significantly higher than the average of 2024 of US $ 233,000 million per day. Due to the lazy price of the price of gold, all sectors of the atrifer market (OTC and bags) experienced a slowdown in the activity.

• Whilein the gold futures market, the total Net Net Positions of Gold Futures in Comex reached 551 tons at the end of May (3% monthly fell). However, The long net positions of the fund managers experienced a slight rebound of 1% monthly to 365 tonsmainly driven by a greater fall in total short positions compared to long positions. For analysts, the movements within a range of fluctuation of gold during the month could have discouraged the interest of the operators.

How Fed impacts the perspectives of gold in the short term

The market now expects higher rates by the end of 2025, which would generate an increase in the yields of the US Treasury bonds and an increase in the opportunity cost of maintaining gold. It should be noted that, although the increase in the yields of the US Treasury bonds has been historically negative for the demand of ETF of Gold, analysts consider that current evolution does not necessarily imply bad news.

Since, for example, the growing concern for stagflation could lead investors to gold, since historically it has had a good performance during these periods. Above, Trump’s controversial fiscal proposal (“One Big Beautiful Bill Act”) and The recent reduction of American sovereign credit qualification by the Moody’s agency have revived investors’ concern about the sustainability of US debt. Of course, although this raises the yields of the US Treasury Bonds by increasing the premiums for the deadlines requested by investors, it is speculated that it could also benefit the demand for gold, since investors seek alternative refuge assets.