Gold ended April flat - the LBMA Gold Price PM in USD rose slightly by 0.1% while the Shanghai Gold Benchmark Price PM in RMB shed a minor 0.4%.
Local gold ETFs added RMB3.5bn (US$498mn) in April, pushing their total assets under management to RMB306bn (US$45bn); holdings rose 3t to 301t, a month-end peak.
Heading into May, the local gold price stabilised above the RMB1,000/g threshold, with Chinese gold ETFs witnessing continued inflows despite sustained strength in the equity market.
In the traditional off-season for gold jewellery, we expect demand in this sector to stay weak – though the stabilising gold price may offer some support.
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A flat month for gold
Gold traded sideways in April, ending the month flat. The LBMA Gold Price PM in USD and the SHAUPM in RMB were little changed. Early in the month, gold rebounded from March weakness as
