Contact us
CALL US NOW 1-888-GOLD-160
(1-888-465-3160)

Russia on a Gold Buying Spree

  by    1   1

The Russians have launched into a gold buying spree.

Based on recently released International Monetary Fund numbers reported at Mining.com., the Russian central bank ranked as the world’s leading gold buyer in February, adding 356,000 ounces to its reserves:

russia bank

Last December, Russia announced plans to increase its gold reserves to $500 billion within the next five years. As a Russian publication put it, “Gold is considered to be a buffer against external economic risks and is currently in favor in Russia.”

China continued to add to its gold hoard as well. The IMF has not included China to its statistics to date, but the People’s Bank of China reportedly bought around 320,000 ounces in February.  The Chinese central bank reported its total gold reserves at 57.5 million ounces. It has added about 130 tons of the yellow metal to its stash since it resumed regular reporting back in July.

Senior economic adviser to Rosland Capital LLC Jeffrey Nichols told Bloomberg that China and Russia are accumulating gold for similar reasons:

The Russian central bank is similar in some sense to the Chinese central bank. They’re acquiring gold for strategic and political gain, with the hopes that their currencies will look more attractive if they have larger gold reserves.”

Many analysts believe these countries are increasing their gold holdings to minimize exposure to the US dollar. Victor Thianpiriya of Australia & New Zealand Banking Group Ltd. told Bloomberg last December that many countries have been diversifying holdings away from the dollar for years.

Central bankers recognize that gold represents stability and historically provides a safe haven for wealth. They are buying gold for the same reasons individual investors should consider investing in the yellow metal.

TaxFreeGold.Banner.1000x285

Get Peter Schiff’s most important Gold headlines once per week – click here – for a free subscription to his exclusive weekly email updates.
Interested in learning more about physical gold and silver?
Call 1-888-GOLD-160 and speak with a Precious Metals Specialist today!


Related Posts

Recession Warning: US Small Businesses Struggling to Pay Rent

In another sign of a struggling economy, small businesses are having an increasingly hard time paying rent. According to Alignable’s November Rent Poll, 41% of US small businesses reported they couldn’t pay their rent in full and on time in November. That was a 4 percentage-point increase from the previous month.

READ MORE →

War on Cash: India Rolling Out Retail Pilot Program for Digital Rupee

We recently reported that the Federal Reserve plans to launch a 12-week pilot program in partnership with several large commercial banks to test the feasibility of a central bank digital currency (CBDC). The US isn’t alone in experimenting with digital currency. India is working on developing a digital rupee and recently announced the second phase […]

READ MORE →

China Likely Stockpiling Gold to Minimize Dollar Dependence

China is likely quietly stockpiling gold in a bid to further minimize its dependence on the US dollar.

READ MORE →

Silver Demand on Pace for Record Year

Silver demand is on pace to hit record levels in 2022, driven by new highs for physical investment, industrial demand, jewelry, and silverware production, according to the Silver Institute’s Interim Silver Market Review.

READ MORE →

Wealthier Shoppers Flocking to Walmart as Inflation Bites

Walmart recently announced better-than-expected third-quarter sales growth. This may seem like great economic news until you realize the reason behind the retailer’s big jump in sales. As it turns out, wealthier shoppers are flocking to Walmart to make ends meet as rising prices squeeze pocketbooks.

READ MORE →

One thought on “Russia on a Gold Buying Spree

  1. MS says:

    IF DOW MAKES A NEW HI,AND KEEPS ON RISING FR A YEAR, WILL GOLD RISE OR FALL UNDER THE CIRCUMSTANCES,

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Call Now