Investors in the Gold ETF - GLD liquidated 300 tons of the metal this year.
The reason? People are tired of losing money watching gold sink while the S&P soars.
Tom Lydon, the editor of ETF Trends, says the disposal of over 600,000 pounds of gold so far this year "amazing" and "incredible." Click on above link for a video interview with Lydon.
Gold vs. S&P 500
Reflections on Momentum Trading
Since late 2012 the S&P 500 has been on a nonstop rise, while gold has gone the other way. People have thrown in the towel on gold in favor of momentum trading in stocks.
It seems nearly everyone is a momentum trader now, one of the consequences of inept central bank bubble-blowing policy.
Louise Yamada says it's Time for Gold Bulls to Abandon Hope. See my response in Wild Swings in Gold and Silver; Time to Give Up Hope?
Mike "Mish" Shedlock
Hussman's Open Letter to the Fed; The Problem with Bubbles; Textbook Pre-Crash Bubble; Reflections on Not Chasing Bubbles; Integrity vs. Respect | Mike Shedlock