Gold Miner ETFs Jump 40% in a Month as Weak Dollar Lifts Gold

Sun Aug 23 2026

International gold prices reclaimed $4,600 an ounce for the first time in three months, driving up returns on gold-related exchange-traded funds (ETFs). ETFs that invest in gold mining companies rose 40% over one month, outpacing the gain in the metal itself.

As of the 21st, the U.S.-listed WisdomTree Efficient Gold Plus Gold Miners Strategy Fund (GDMN) returned 47.60% over the past month, according to Koscom's ETF CHECK on the 23rd. The iShares MSCI Global Gold Miners ETF (RING) gained 42.85%. The VanEck Gold Miners ETF (GDX), which holds large gold miners, and the Global X Gold Explorers ETF (GOEX), which focuses on gold exploration companies, each rose 38.60%.

The rally in mining stocks reflects another steep climb in international gold prices. Gold futures on the New York Mercantile Exchange closed at $4,680.60 an ounce on the 21st local time. After falling to a yearly low of $3,992.10 last month, prices rose 17.25% over one month to their highest level since May.

Analysts attribute the gains to concerns over U.S. fiscal health and a weaker dollar. The dollar index, which measures the greenback against six major currencies, fell to 98.80, its lowest level since May 14. With long-term interest rates rising in major economies, the dollar's decline has increased gold's relative appeal. Central bank gold purchases and fading expectations of further U.S. rate hikes also supported demand.

Gold mining stocks are structured to see profits grow more sharply when gold prices rise. Because miners carry a high share of fixed costs, higher gold selling prices translate quickly into improved profitability. According to Yuanta Securities, gold miners' all-in sustaining costs (AISC) rose 16.2% year-on-year in the first quarter, while gold prices climbed 49.4%. "We are focusing on gold mining companies, which can maximize the leverage effect relative to physical gold when prices rise," said Ko Kyung-bum, an analyst at Yuanta Securities.

Original reporting by Shin Ji-min for Seoul Economic Daily.

AI-translated from Korean. Quotes from foreign sources are based on Korean-language reports and may not reflect exact original wording.

Source: https://en.sedaily.com/