Gold ETF (AAAU) Hits New 52-Week High
For investors seeking momentum, GS Physical Gold ETF AAAU is probably on the radar. The fund just hit a 52-week high and is up 20.92% from its 52-week low price of $17.97/share.
But are more gains in store for this ETF? Let’s take a quick look at the fund and the near-term outlook on it to get a better idea of where it might be headed:
AAAU in Focus
The fund seeks to reflect the performance of the price of gold less the expenses. The product charges 18 bps in annual fees (See: All Precious Metals ETFs).
Why the Move?
Gold has been an area to watch lately, given the surge in the price of the yellow metal. The increasing probability that the Fed might start cutting interest rates in June is driving the upside in gold prices. Rising bets of interest rate cut in June have also weakened the greenback which is another positive factor for gold prices.
Considered a store of wealth, prevailing geopolitical tensions and economic uncertainties further support the upside in the yellow metal.
More Gains Ahead?
Currently, AAAU has a Zacks ETF Rank #3 (Hold). However, it might continue its strong performance in the near term, with a positive weighted alpha of 18.40, which gives cues of a further rally.
Want key ETF info delivered straight to your inbox?
Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week.
Get it free >>Goldman Sachs Physical Gold ETF (AAAU): ETF Research Reports
