Investor’s Business Daily reporter Trang Ho takes a look at the recent action in gold ETFs in the article Gold Yo-Yos As Hope Tempers Fears.
Ho points out that the spot price of gold surged last week as investors moved to commodities as fears mounted in the credit market and the Federal Reserve battled the worsening financial crisis.
Of note, the price of gold fell after the bailouts of Bear Stearns, Freddie Mac and Fannie Mae. However, gold held steady after the bailout of AIG indicating continued uncertainty about the future.
ETFs that invest in gold and silver as well as mining companies include:
- SPDR Gold (GLD) the largest ETF that tracks gold bullion
- iShares Silver Trust (SLV)
- Market Vectors Gold Miners (GDX)
- SPDR S&P Metals & Mining (XME)
Ho also mentions the PowerShares DB Commodity Index Tracking Fund (DBC) as an ETF that holds a diversified basket of futures including light, sweet crude oil, heating oil, aluminum, gold, corn and wheat.