Gold Rebounds on ETF Buying Surge

Gold prices have rebounded in recent days due to the return of buyers from exchange-traded funds (ETFs). This surge comes after a period of slow growth, and marks one of the fastest increases in gold holdings since early April.

Total bullion holdings in ETFs have increased by 24 tons since July 20. Central banks had already been purchasing gold at an accelerated pace, but it wasn't until ETF inflows resumed that prices began to rise again.

The recent spike in gold prices may be attributed to the return of deep-pocketed buyers, who are driving demand for the precious metal.