A notable increase in gold sales has emerged in early 2026, driven by shifting investor sentiment and rising U.S. Treasury yields. The GLD ETF has seen outflows of $1.8 billion in the past month, while the spot price of gold (XAU=USD) has declined 5.2% since January. These movements coincide with a strengthening U.S. dollar and elevated oil prices (CL=F), signaling a pivot away from safe-haven assets.
- GLD ETF recorded $1.8 billion in outflows from February 1 to March 5, 2026.
- XAU=USD gold price fell 5.2% from January high to $2,038/oz by March 5.
- U.S. 10-year Treasury yields rose to 4.87%, discouraging non-yielding assets.
- U.S. Dollar Index (DXY) gained 3.1% year-to-date, increasing gold’s cost internationally.
- Crude oil futures (CL=F) rose 12.4% to $89.70/barrel, influencing inflation perceptions.
- Institutional gold long positions declined by 18% over six weeks amid yield-driven reallocation.
Gold holdings have declined sharply across multiple investment vehicles in early 2026, with the SPDR Gold Shares ETF (GLD) recording net outflows totaling $1.8 billion between February 1 and March 5. This marks the largest monthly outflow since Q2 2023 and reflects a broader trend of investors liquidating positions in precious metals. Concurrently, the spot price of gold (XAU=USD) has dropped 5.2% over the same period, settling at $2,038 per ounce as of March 5, down from a January high of $2,150. The shift in investor behavior follows a sustained rise in U.S. 10-year Treasury yields, which climbed to 4.87% in March—its highest level since 2007. Higher yields reduce the appeal of non-yielding assets like gold, prompting capital reallocation toward fixed-income securities. At the same time, the U.S. Dollar Index (DXY) has strengthened by 3.1% since the start of the year, increasing the cost of gold for international buyers and further pressuring demand. Commodity market dynamics have also contributed to the trend. Crude oil futures (CL=F) have surged 12.4% since January, reaching $89.70 per barrel, reflecting strong global industrial demand and geopolitical tensions. As oil prices rise, inflation expectations have re-accelerated, but the market now views nominal returns from bonds as more attractive than gold’s long-term store-of-value proposition. The divergence between gold and other assets suggests a broader repositioning in portfolios. Institutional investors and hedge funds have reduced long gold positions by 18% on average over the past six weeks. Meanwhile, demand for physical gold in emerging markets, particularly India and China, remains subdued due to elevated local prices and tighter monetary policy.