Why are China and Russia buying so much gold?
Lombardi Letter/Moe Zulfiqar
“You see, after the 1970s, central banks bought into the idea that the U.S. dollar was the savior of the global financial system. They rushed to buy the greenback like there was no tomorrow. After the financial crisis of 2008–2009, it became very clear to central banks that the U.S. dollar isn’t as secure as they were told it would be.”
USAGOLD note: An interesting take on the the motivations behind central bank gold purchases. “The perfect recipe,” he says, “for higher gold prices.”
Image: Gold vault at the Federal Reserve of New York
Repost from 10-8-2019