Wall Street’s $75 Billion Gold Rush

In a move that has stunned markets and raised serious questions about the future of the global financial system, institutional investors have poured a staggering $75 billion (annualised) into gold funds by late May 2025. This record-breaking inflow signals far more than just a market hedge. According to data from Katusa Research, this unprecedented surge dwarfs every previous gold-buying spike in modern history and has sparked urgent warnings to retail investors: Wake up or get left behind.

Wall Street isn’t dabbling, it’s repositioning. With $31 billion already funnelled into gold funds by May 28 and projections accelerating past $75 billion on an annualised basis, this is not just speculative activity. The previous highs seen during Brexit, the COVID crisis, and inflationary episodes now pale in comparison.

The surge has been confirmed by data from BofA Global Investment Strategy and EPFR, while the World Gold Council’s Q1 report shows $21.1 billion of inflows into global gold ETFs. That’s already the highest since early 2022. Total ETF assets have reached a record $345 billion, with holdings sitting at 3,445 tons. This isn’t about reacting to headlines, this is smart money preparing for breakdown scenarios: Credit risk, inflation, and potential systemic failure.

Central banks are also playing a pivotal role. According to Katusa Research, COMEX gold vaults have been steadily drained for 74 consecutive days, and central bank gold buying has continued for 16 straight years. This structural demand, combined with a tightening supply, further fuels bullish sentiment.

Katusa Research also identified a rare “213-day Point-of-No-Return” pattern, which is one that historically preceded $500 jumps in gold’s price. With spot prices already above $3,000 per ounce and a possible Federal Reserve rate cut looming in June, analysts are looking upward.

Retail Falling Behind

Despite the dramatic moves from institutional players, the retail crowd remains largely on the sidelines. According to some analysts, Wall Street has just placed a massive gold bet, and retail investors have no idea. By the time retail wakes up to the opportunity, the cost of entry may have already surged beyond reach.

As Tavi Costa summed it up, “A new gold rush is unfolding in real-time.” For central banks and hedge funds, this isn’t about portfolio balancing—it’s about preparing for what comes next. The quiet accumulation of gold by global powers may be the clearest signal yet that we’re entering a new chapter of financial uncertainty.