9 April | Gold

Trade tensions with US fuel record gold ETF inflows in China

Trade tensions with US fuel record gold ETF inflows in China

Bloomberg reports that escalating US-China trade tensions are driving Chinese investors toward gold, resulting in record inflows into gold-backed ETFs. Last week alone saw $1 billion in inflows, with the trend continuing this week.

This surge, primarily from retail investors, reflects growing demand for hedging amid market volatility triggered by new US tariffs that have erased trillions of dollars from global stock markets.

Gold ETF inflows in China since the beginning of the year have already reached four-fifths of last year's total. Deutsche Bank analysts predict Chinese gold-backed ETFs may soon rival those in developed markets.

The report also notes that in March, Chinese stock ETFs saw outflows of $5.3 billion.

Elena Dorokhina MarketCheese
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