10 Best Days Ever for the Gold ETF
Making its debut in 2004, State Street’s SPDR Gold Trust (GLD) is the oldest commodity exchange-traded fund, as well as one of the largest ETFs on the market. Given its popularity, GLD is also one of the most heavily traded funds on the market. On average, however, GLD’s daily price change is usually less than 1%.
In this piece, we’ll take a look at some of GLD’s most active sessions, highlighting the fund’s 10 best single trading days [see also The Complete History of the GLD].
GLD Up 11.29%
On September 17, 2009, Wall Street learned of a massive $85 billion bailout for American International Group (AIG). This came just two days after Lehman Brothers collapsed. Also on this day, Morgan Stanley announced it began merger talks with Wachovia.
GLD Up 7.35%
On November 21, 2008, gold rallied alongside equity markets after news reports surfaced that President Obama would nominate New York Federal Bank President Timothy Geithner as his new Treasury Secretary. Also on this day, rumors of Citigroup putting itself up for sale were shot down by the company’s CEO, which ultimately sent the stock and the broader market lower.
GLD Up 6.16%
On November 4, 2008, equity markets rallied after Americans voted for the 2008 Presidential election. This also came after major equity indexes logged in one of the worst months in Wall Street history.
GLD Up 4.67%
On January 23, 2009, U.S. equity markets had just ended a particularly volatile week, as investors digested weaker-than-expected earnings reports and lackluster data. And with banks continuing to be hit hard, gold prices rallied.
GLD Up 4.48%
On December 10, 2008, Wall Street learned that Congress and the White House agreed to provide a $14 billion bailout to the struggling auto industry. Earlier during the session, however, markets retreated, sending gold upward.
GLD Up 4.36%
On September 18, 2013, equities and gold skyrocketed after the Fed announced that it will continue its bond-buying program for at least another month, stating that it wanted to see more evidence that the economy can sustain improvement before scaling back its bond purchases.
GLD Up 3.88%
On June 1, 2012, gold rallied after U.S. equity markets suffered their biggest decline for the year after a worse-than-expected job report was announced. The Dow Jones Industrial Average erased all its gain for the year during this session.
GLD Up 3.84%
On September 19, 2008, Treasury Secretary Hank Paulson stated “If it doesn’t pass, then heaven help us all,” spooking investors on Wall Street. This statement came days after Lehman collapsed, Merrill Lynch had been sold and AIG had been bailed out.
GLD Up 3.72%
On September 22, 2008, the Dow suffered its biggest one-day decline in its history, sending investors fleeing to gold as a safe haven. Gold rallied as investors digested the specifics of the government’s $700 billion bailout plan.
GLD Up 3.65%
On June 26, 2008, bond and gold prices soared after Goldman Sachs announced it had lowered its rating on U.S. brokerages. The investment bank said it downgraded the firms because of continued deterioration in the industry. The Fed also announced that it would leave its key short-term interest rates unchanged at 2%, marking the first time in nine months since it did not cut rates.
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Disclosure: No positions at time of writing.