One of the most reliable charts to monitor when trading gold ETFs,
spot gold futures, or even physical gold coins, is the US Dollar Index ETF ($ UUP).
The two main ETFs we trade are SPDR Gold Trust ($ GLD), which tracks the price of
spot gold futures, and Junior Gold Miners ($ GDXJ), which is comprised of a basket of smaller gold mining stocks.
Without even looking at a chart, I can tell you one of the best things about trading a Gold ETF or
the spot gold futures is that the shiny yellow metal is typically not closely tied to the day to day movement in the stock market.
One potential ETF trade entry on our radar screen this week is SPDR Gold Trust ($ GLD), a commodity ETF that tracks the price of
spot gold futures.
Not exact matches
Spot gold rose for a second session, firming by 0.7 percent to $ 1,313.83 an ounce by by 2:05 p.m. ET, while U.S.
gold futures for June delivery settled up $ 7.10 at $ 1,312.70.
Spot gold edged higher by 0.34 percent to $ 1,252.91 per ounce, while U.S.
gold futures for June delivery rose $ 2.80 to settle at $ 1,254.
Spot gold ended up 0.04 percent at $ 1,320.31 an ounce at 12:58 p.m. ET, while U.S.
gold futures for February delivery were down 0.09 percent at $ 1,321.10.
At last check,
spot gold was barely changed at $ 1,172.65 an ounce, while
gold futures for August delivery was up 0.05 % to $ 1,172.40 an ounce as of 12:09 p.m. ET today.
Using daily
gold bullion
spot prices (London fixing) and COMEX
gold futures prices during 1981 through 2010 (30 years), along with contemporaneous stock market index and
gold jewelry demand data, he finds that: Keep Reading
Using daily
gold spot and nearby
futures contract prices and the Treasury bill yield (risk - free rate) during November 1978 through March 2010 (377 months), they find that: Keep Reading
Over the past several years the prices of
gold futures contracts have generally been very close to the
spot price and there have been regular small dips in
futures prices to below the
spot price, but this situation is a natural and predictable effect of the Fed's unnatural zero - interest - rate policy.
But to somehow put things into context for now, it probably still helps to note that the average daily turnover of physical
gold spot contracts on the Shanghai Gold Exchange is over $ 1bn, while an average of about $ 32bn worth of gold futures trade on Comex each
gold spot contracts on the Shanghai
Gold Exchange is over $ 1bn, while an average of about $ 32bn worth of gold futures trade on Comex each
Gold Exchange is over $ 1bn, while an average of about $ 32bn worth of
gold futures trade on Comex each
gold futures trade on Comex each day.
The main reason, however, is that the difference between the
futures price and the
spot price is driven by arbitrage and, in all commodity markets except the
gold market, the extent to which current production is able to satisfy current demand (in the
gold market there can never be a supply shortage because almost all of the
gold mined in world history is still available to meet current demand).
In their August 2014 paper entitled «Price Dynamics of
Gold Futures and Gold Leveraged ETFs», Tim Leung and Brian Ward compare the price evolutions of spot gold, gold futures and leveraged gold E
Gold Futures and Gold Leveraged ETFs», Tim Leung and Brian Ward compare the price evolutions of spot gold, gold futures and leveraged gol
Futures and
Gold Leveraged ETFs», Tim Leung and Brian Ward compare the price evolutions of spot gold, gold futures and leveraged gold E
Gold Leveraged ETFs», Tim Leung and Brian Ward compare the price evolutions of
spot gold, gold futures and leveraged gold E
gold,
gold futures and leveraged gold E
gold futures and leveraged gol
futures and leveraged
gold E
gold ETFs.
More than 330 instruments for efficient trading: 54 currency pairs,
spot - metals,
gold and silver, CFD stocks, indexes and
futures (raw materials and energy resources).
Generally speaking,
gold is traded mostly as
spot contracts or
futures contracts.
It is possible to conduct
spot and
futures contract trading on
gold on the primary
futures market: CME, COMEX, CBOT and NYMEX.
To investigate, we relate the return series of three exchange - traded funds: (1) the
futures - based PowerShares DB US Dollar Index Bullish (UUP); (2) the
spot - based SPDR
Gold Shares (GLD); and, (3) the
spot - based United States Oil (USO).
If the price in the
futures market is greater than the price in the
spot market, then there is a profit to carry
gold — to buy metal in the
spot market and sell a
futures contract.
If I hold
gold in stock, but sell
futures to lock in the price, then co-basis represents the difference between the bid price for
spot and the offer price for
futures.
Although the main purpose of buying
gold is ornamental use, some of them do invest in
gold as coins, bullion, buy market shares, and opt for other trading options such as Exchange Traded Funds,
Spot contracts, and
Future contracts.