Since the presidential elections, investors have been withdrawing capital from gold, and SPDR Gold Trust has faced huge outflows.
According to FactSet, the fund is experiencing capital outflows for 28 consecutive sessions. Since the election, investors have withdrawn $ 4.7 billion from the $ 30.2-billion fund.
Gold is in the opposite relationship with the stock market, which has grown since the victory of Donald Trump in early November.
Investors are betting on reducing corporate taxes, as well as weakening the norms of financial regulators. The expected acceleration of economic growth will make the “yellow metal” less attractive as an asset.
The gold ETF sank 11.3% since the election, having eased to a low since February. However, the growth since the beginning of the year has been preserved and is 6.3%. Since early 2016, capital flows remain positive and reach $ 7.55 billion.