Holdings in global gold-backed ETFs and similar products fell by 39t to 2,394t in July, pushing assets under management (AUM) in US dollars down by 4% to US$94bn from US$98bn in June. Gold price performance was a large contributor to outflows as it fell over 2% in US dollar terms.

All regions experienced outflows in July. ETF outflows were dominated by North American funds, losing US$984mn. Asia experienced the largest outflows on a percentage basis (6.2%), while Europe reversed the recent trend of inflows, losing 8.0t (US$302mn).

COMEX net long futures are the lowest in three years highlighting bearish sentiment in the market. A very low net long level, however, has historically preceded rallies in the price of gold.

• European funds lead the way, adding US$2.2bn (5.3% AUM) to their holdings 
• Asian funds have seen an impressive percentage increase, growing by 8% y-t-d, but have given up gains over the past two months 
• North American flows have been negative for three straight months, with US$1.2bn (2.4% AUM) coming out on the year
• A stronger dollar in Q2 and a declining gold price have weighed on ETF holdings, and global AUM is only slightly higher on the year 22t (US$ 1.0bn, 1.1% AUM)