Holdings of SPDR Gold Trust fell for a seventh straight session on Wednesday in a record stretch of outflows, as signs of an improving global economy dull bullion’s appeal as a safe-haven asset.
Holdings of the world’s biggest gold-backed exchange-traded fund dropped to a more than six-month low at 1,258.4 tonnes. They are on course for a record monthly decline after falling nearly 70 tonnes so far in February.
“It is difficult to motivate people to buy gold (at the moment),” said Dominic Schnider, an analyst at UBS Wealth Management in Singapore.
A raft of robust economic data from the world’s main economies has driven a stellar performance by global stock markets, with the S&P 500 Index climbing more than 6 percent so far this year, compared to gold’s nearly 5-percent decline.