Singapore's first gold ETF is listed as war in the Middle East hits gold prices

The Singapore Exchange today welcomed the official listing of the first ETF-LionGlobalPhysical Gold ETF that tracks local gold deposits. The purity of the underlying gold is no less than 99.5%. The fund was previously opened to retail and institutional investors on an over-the-counter platform about four months ago.<br /> Singapore's move echoed the layout of rival Hong Kong: Hong Kong has signed a gold clearing agreement with the Shanghai Gold Exchange and plans to build a vault with a capacity of more than 2000 tons within three years. However, as the two places expand gold investment, gold prices are falling under pressure. U.S. gold futures fell to US$4100 from more than US$5400 per ounce on March 2.<br /> Analysts pointed out that Iran's defense of the Strait of Hormuz has pushed up energy prices, exacerbated inflation expectations, and prompted the central bank to postpone easing monetary policy. Market logic has shifted from risk aversion to inflation, interest rates and liquidity, putting gold under continued pressure.