ETF Gold Rush Looks Set To Continue

Share This Article
April 29, 2009 11:34am NYSE:GLD

gold-rushAs fears of a global swine flu pandemic have continued to grow both in Mexico and around the world the price of gold hit an “intra day” high yesterday of $918 having already been given a boost by last Friday’s revelation that China has been secretly raising its gold reserves by 75% since 2003, thereby confirming years of speculation that it has been stockpiling the metal.

The gold price is now just 8% below its all time high of $1000 last seen in February 2008. However, from a technical perspective the gold price has a number of price hurdles or “resistance” levels to overcome before we are likely to see this price once again. One of the biggest hurdles or resistance levels for the gold price is at the $960 price point which was last seen in March of this year.

In the meantime there are other equally compelling factors which may affect the price of gold in the short term and these include the increase in gold imports by India which may double this month from a year ago, as recent price dips revive demand for the Akshaya Tritiya festival when it is considered auspicious to buy gold. However, this year the demand seems to have translated into heavy demand for gold back ETF’s (exchange traded funds) rather than for the physical metal.

Full Story:  http://www.huliq.com/1/80321/gold-rush-looks-set-continue



7 Best ETFs for the NEXT Bull Market

Read Next



Free Investing Ideas Newsletter!

Join over 70,000 investors who get the latest insights and top rated picks from our free investment newsletter.

Most Popular



7 Best ETFs for the NEXT Bull Market

Explore More from ETFDailyNews.com

Free Investment Newsletter

Join over 70,000 investors who get the latest insights and top rated picks from our free investment newsletter.

ETFDailyNews.com respects your privacy.

Best ETFs

We've rated and ranked nearly 2,000 ETFs and ETNs using our proprietary SMART Grade system.

View Top Rated ETFs

Best Categories

We've ranked dozens of ETF categories based on relative performance.

Best ETF Categories