Bank of America: Gold funds see the largest weekly inflow in nearly a year

Bank of America cited data from EPFR, stating that in the week ending this Wednesday, $1.1 billion flowed into gold funds, the highest level since May 2023. On Wednesday, the Federal Reserve kept interest rates unchanged, while on Thursday, the Bank of England indicated that the UK economy is moving towards a rate cut, and the Swiss National Bank unexpectedly cut rates by 25 basis points. Bank of America believes that major central banks are gradually shifting towards rate cuts, supporting market trends and explaining why assets such as stocks and gold are at historical highs. The price of gold has room to rise as several central banks continue to buy gold. Against a backdrop of geopolitical uncertainty, the attractiveness of gold as a safe-haven asset has driven demand for gold