Dollar Weakness Fuels Rally in Precious-Metals ETFs

The U.S. dollar's continued decline, with the DXY index hovering NEAR 97.4—its lowest level in over a year—has ignited a surge in precious-metals ETFs. Investors are capitalizing on the greenback's slump, driving fresh inflows into gold and silver-focused funds.

VanEck Junior Gold Miners ETF soared 34% and 15% during recent dollar dips, while abrdn Physical Platinum ETF jumped 45%. iShares Silver Trust (SLV) delivered returns between 5% and 12%, reflecting heightened demand for dollar-priced metals.

Spot gold climbed to $3,389.98/oz, its strongest since mid-June, as Treasury yields retreated. SPDR Gold Shares (GLD) has gained 27% year-to-date, buoyed by a record $38 billion in ETF inflows during the first half of the year. SLV mirrors this trajectory with a 27% rise in 2024.