Brexit debacle good for gold

HOLDINGS in global gold-backed exchange-traded funds and similar products rose slightly in March by three tonnes to 2483t, equivalent to $183 million in inflows, the World Gold Council reports.
Brexit debacle good for gold Brexit debacle good for gold Brexit debacle good for gold Brexit debacle good for gold Brexit debacle good for gold

Staff Reporter

Global assets under management (AUM) fell by 1.6% in US dollars to $103 billion over the month, driven by the 2% decline in the price of gold during the same period. Global gold-backed ETF flows remain positive on the year ($1.9 billion, 1.9% AUM) on the back of strong January inflows.
 
Regional fund flows were:
 
● North American funds had inflows of 2.5t ($104 million, 0.2% AUM)
 
● Holdings in European funds rose fractionally by 0.3t ($53 million, 0.1%)
 
● Funds listed in Asia also increased slightly by 0.3t ($17 million, 0.5%)
 
● Other regions were virtually flat, rising by 0.2t ($9 million, 0.7%)
 
"March's marginal inflows appear to resume an upward trend in holdings. February's outflows may have been no more than a temporary setback for what has been a six-month plus of steady inflows. Holdings in UK-based gold-backed ETFs remain near all-time highs, likely driven by the uncertainty surrounding Brexit," the WGC said.
 
Meanwhile, cocoa decreased $6 per tonne or 0.25% since the beginning of 2019, according to trading on a contract for difference (CFD) that tracks the benchmark market for this commodity. Historically, Cocoa reached an all-time high of 4361.58 in July of 1977 and a record low of 211 in July of 1965.
 
The price of Arabica coffee dropped as much as 4% to $90.6 per pound yesterday, the lowest level since September of 2005, as a global oversupply weights on the market. Farms are selling their coffee below the cost of production while Brazil and Colombia expect a big harvest this year due to favourable weather. Historically, coffee reached an all-time high of 339.86 in April of 1977 and a record low of 42.50 in October of 2001.

 

 

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