Investors Pour $31 Billion into Gold ETFs in Record Third Quarter

The World Gold Council reports that September alone saw 67.3 tonnes of gold, valued at nearly $10 billion, flow into global ETFs. This performance pushed the total third-quarter inflow to a record-breaking $31 billion, with North American and European funds leading the charge. Total assets under management for global gold ETFs rose 9% during the quarter, as collective holdings grew by 211 tonnes.

North American funds experienced a notable recovery, attracting $11.7 billion in the third quarter and reversing earlier outflows from the first half of the year. In the United States, investors added $3.8 billion in September, viewing the price pullback as an entry point for long-term positions. Meanwhile, European demand hit a regional milestone, fueled by the strongest quarter on record for UK-listed funds. Analysts attribute this sustained interest to concerns regarding fiscal sustainability and sovereign bond-market risks.

Asian markets provided further stability, recording a third consecutive month of growth. Chinese funds led the regional trend, bolstered by weakness in domestic equities and declining government bond yields. Even as the Federal Reserve maintains a hawkish stance, the continued accumulation of gold suggests that investors are increasingly prioritizing portfolio diversification over the immediate opportunity costs of rising interest rates.