ETF Securities Precious Metals Outflows Were $234 Million

ETF Securities Ltd. said outflows from its precious metals exchange-traded commodities were $234 million last week, the most since May.

The total net outflow for commodities was $280 million for the week through Dec. 1, with gold a negative $30.1 million, palladium a negative $23.7 million and copper inflow at $11.5 million, ETF Securities said in a report e-mailed today. Silver saw the fourth consecutive week of inflows, at $3.7 million, as investors took advantage of low prices, it said.

The Standard & Poor’s GSCI Index of 24 raw materials jumped 3.5 percent last week, the most since mid-October, led by copper, zinc and aluminum. Copper, silver, heating oil and wheat had the most inflows last week for ETF Securities, according to the company’s report.

The value of world equities rose more than $2.2 trillion last week and the MSCI All-Country World Index climbed for five consecutive days. The Federal Reserve and five other central banks made it easier and cheaper for banks to obtain dollars in emergencies and China, the biggest consumer of everything from energy to copper to soybeans, lowered banks’ reserve requirements for the first time since 2008.

Gold holdings held in exchange-traded products climbed 0.2 percent last week to 2,355.1 tons, data compiled by Bloomberg show. Silver assets rose 0.5 percent to 17,378.7 tons, platinum assets fell 5.2 percent to 40.3 tons and palladium holdings declined 3 percent, according to the data.

Hedge funds boosted wagers on higher commodity prices for the first time in three weeks in the week ended Nov. 29, according to Commodity Futures Trading Commission data.

Commodity assets in exchange-traded funds gained to $190.7 billion in November from $187.3 billion the month before, Remy Penin, an analyst at Societe Generale SA, said in a report today. Precious-metals assets in ETPS rose to $158.8 billion from $154 billion in October, according to the report.

To contact the reporter on this story: Maria Kolesnikova in London at mkolesnikova@bloomberg.net

To contact the editor responsible for this story: Claudia Carpenter at ccarpenter2@bloomberg.net

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