Chinese discover gold ETFs

Gold is popular as a hedge against uncertainty. The fact that investors in China are now increasingly turning to gold ETFs could lead to additional demand for gold and thus rising gold prices. According to figures from the World Gold Council, inflows into gold ETFs were strong overall in April. The fifth monthly increase in holdings was recorded. This year, four-fifths of last year’s total Chinese inflows into gold-backed and exchange-traded gold ETFs (in China) have already been added, a remarkable development. Even if Chinese holdings in gold ETFs are still low at present, a change now seems to be taking place. Fears of recession and the US customs policy are now also making gold shine in this area. An increased influx of gold mining stocks could be next on the agenda.

Perhaps the next boost for the silver price will also come from China. On the one hand, it is the investors and central banks and, on the other, the precious metal is in high demand in its dual function as an industrial metal in the solar industry. Silver is an important material for solar panels and at the same time a cheap alternative to gold. If uncertainties increase, not least due to US economic policy, the price of silver could take off to new heights. For this to happen, the resistance level of USD 34 to 35 per ounce of silver would have to be overcome. This would not be so surprising, as the silver market is in deficit and the gold-silver ratio shows that silver is clearly undervalued. The stocks of companies that own gold and silver could therefore become even more attractive.

This includes Sierra Madre Gold and Silver – https://www.commodity-tv.com/ondemand/companies/profil/sierra-madre-gold-silver/ -. The company started production at its Guitarra project in Mexico at the beginning of 2025 and is pleased to report a successful first quarter of 2025.

Endeavour Silver – https://www.commodity-tv.com/ondemand/companies/profil/endeavour-silver-corp/ – is a medium-sized precious metal producer with projects in Mexico, Chile and Nevada. The company has just acquired Minera Kolpa, a producing mining operation in Peru with great exploration potential.

Current company information and press releases from Endeavour Silver (- https://www.resource-capital.ch/en/companies/endeavour-silver-corp/ -) and Sierra Madre Gold and Silver (- https://www.resource-capital.ch/en/companies/sierra-madre-gold-and-silver-ltd/ -).

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