The SPDR Gold ETF (GLD) dropped 0.3% towards a seven-month low in afternoon trading on Thursday. Despite declines in the U.S. dollar and Treasury yields, the shiny-metal tracker continued to slide. This marks the ETF’s ninth-straight loss, making it the longest losing streak since July 6, 2022.
During this losing streak, the ETF has experienced a significant decline of 5.6%, which is its worst performance over a nine-day period since March 21, 2022. This ongoing selloff is occurring despite a 0.3% fall in the U.S. Dollar Index (DXY) and a 0.014 percentage point slip in the yield on the 10-year Treasury note.
The recent surge in Treasury yields to 16-year highs and the strong performance of the dollar have negatively impacted gold prices. As a non-interest-bearing asset priced in U.S. dollars, gold becomes less attractive as the value of the dollar rises. Consequently, the value of gold per dollar decreases.
Year to date, the gold ETF has lost 0.6% while the S&P 500 has rallied by an impressive 10.45%.