Miner Company
GLD: Expecting Additional Losses As Financial Conditions Tighten And USD Carry Improves
I am reducing my portfolio's exposure to the SPDR Gold Shares ETF after riding out a prolonged rally. Gold's rise has likely been due to a structural rise of the geo risk premium. However, I don't think GLD ETF will cope in a shock event. Lower carry on the USD and loose financial conditions drove GLD ETF higher. I foresee a switch in both variables, given the structural implications of the U.S.-Iran conflict.
Tickers: GLD
I am reducing my portfolio's exposure to the SPDR Gold Shares ETF after riding out a prolonged rally. Gold's rise has likely been due to a structural rise of the geo risk premium. However, I don't think GLD ETF will cope in a shock event. Lower carry on the USD and loose financial conditions drove GLD ETF higher. I foresee a switch in both variables, given the structural implications of the U.S.-Iran conflict.