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IGLD Flat as Gold Prices Rise on Trade Tensions and Inflation Fears

Gold's recent surge is primarily driven by escalating U.S.-China trade tensions, which have heightened demand for safe-haven assets. The imposition of new tariffs by both countries has fueled inflation fears, prompting investors to flock to gold as a hedge against economic uncertainty. This has resulted in a significant increase in gold futures contracts opting for delivery, with 28% of registered gold required to fulfill these orders. Additionally, the year-to-date rise in gold prices, reaching nearly 10%, underscores the metal's appeal amid geopolitical and economic concerns.

The FT Cboe Vest Gold Strategy Target Income ETF (IGLD) rose to $19.71, marking a 0.36% increase as of 10:00 AM ET on February 5th.