Gold ETF Holdings Climb to Yearly Highs Despite Inflation Pressure

Global gold ETF holdings reached 101.3 million ounces on October 8, a 5.3% increase from the year-to-date low recorded in July. Analysts at Heraeus suggest this trend reflects a shift in investor strategy, where market participants are holding positions or buying into price dips. Asian-listed funds have been particularly active, driving nearly half of the global increase in holdings over the past twelve months. This appetite persists even as the metal struggles to maintain its footing above the $4,100 per ounce threshold.

Central bank activity also presents a mixed landscape. The National Bank of Kazakhstan, a significant buyer earlier this year, intends to reduce gold's share in its international reserves from 78% to 75% by year-end. Analysts categorize this as a portfolio rebalancing exercise rather than a broader retreat from bullion, aimed at reducing concentration risk as dollar-denominated assets become more attractive. Meanwhile, silver remains sensitive to monetary policy shifts; after dropping below $60 per ounce following the inflation reports, the metal has shown volatility, currently trading near $57.32 per ounce. In India, the government’s confirmation of a 3% Integrated Goods and Services Tax on silver, gold, and platinum imports brings regulatory clarity to a market that accounted for 20% of global silver demand in 2025.