Gold Investors See Gains in Rate-Cut Era From ETFs, Haven Buying
A months-long surge that has seen gold break successive records is drawing in more followers, as interest in physically backed exchange-traded funds gathers pace and more buyers seek to hedge against macroeconomic and geopolitical uncertainties.
Bullion’s 26% rise so far this year has largely been driven by expectations around the US Federal Reserve’s pivot to monetary easing, which started this week with a hefty 50-basis-point cut. But while there’s no certainty the central bank will follow up with more big reductions in coming months, there are other bullish factors driving the metal, according to John Hancock Investment Management’s Matt Miskin.