Gold and silver rose again after two sessions of falls. Support came from a weaker US Dollar and lower geopolitical tensions.
Gold ETF flows were positive for three straight weeks. Holdings increased by 10koz on 21 April, which was the sixth daily inflow in a row.
Total ETF holdings reached 99.3 moz. The move followed the March sell-off.
The article was produced with help from an Artificial Intelligence tool and checked by an editor.
We are seeing gold and silver recover from recent losses, supported by a weaker dollar and an easing of geopolitical tensions. The renewed interest from investors is becoming clearer now. This shift suggests a change in market sentiment is underway.
The flow of money into gold-backed ETFs has been positive for the last three weeks, a strong signal that conviction is returning. We have seen six straight days of inflows, lifting total holdings to nearly 100 million ounces. This points to renewed investor interest after the sell-off we experienced earlier this year.
This pattern is familiar, as we saw a similar setup in 2025 when a sharp March sell-off was followed by a sustained period of ETF buying in April. That period marked the beginning of a significant price recovery. Recognizing this historical parallel is key to understanding the current opportunity.
The U.S. Dollar Index (DXY) has recently fallen from a peak of 106 to around 104.2, which directly supports higher gold prices. This dollar weakness is tied to recent inflation data coming in slightly softer than expected, leading markets to price in a pause from the Federal Reserve. A less aggressive Fed is historically bullish for gold.
In the derivatives market, we are observing a notable increase in open interest for call options, particularly for strikes 5% above the current spot price. The call-to-put ratio has climbed to its highest level in three months, showing that traders are positioning for more upside. This indicates a growing consensus that the path of least resistance is higher.
Given these signals, traders should consider strategies that benefit from this upward momentum. The consistent ETF inflows and bullish options activity suggest that buying on dips may be a sound approach in the coming weeks. Watch the dollar’s movement closely, as continued weakness would likely fuel this rally further.
