Loading ...Gold now makes up 24% of global central bank reserves, surpassing US Treasuries at 21% for the first time since the mid 1990s.
This is a complete reversal from Q4 2015, when Treasuries made up 33% of reserves and gold just 9%.
Gold as a % of central bank reserves has NEARLY tripled over the last decade, driven by both aggressive central bank purchases and surging gold prices.
At the same time, central banks have steadily reduced their exposure to US government debt, driven by China.
If gold reserves were 9% in 2015 when gold was about $1200, shouldn’t the share be well over 30% just on price alone?
That its only 24% means CBs have accumulated T’s even faster than gold’s price has risen.