Recently, gold prices have been continuously rising, but this time, it is not due to a plummeting dollar, the outbreak of war, or even traditional seasonal demand. The real driver is the collective action of global central banks.
🌍 Central banks are crazily hoarding gold
Over the past six months, countries like China, Turkey, and Germany have significantly increased their gold reserves. Behind this is a strategic layout to break free from dollar dependence and hedge against financial system risks. Gold, as a hard asset not controlled by the existing system, is returning to the stage.
⚖️ The settlement weapon under sanctions
Russia, under sanctions, is struggling to settle in major currencies like the US dollar and yen, ultimately choosing to pay for energy and commodities with gold. This is not only a last resort but also highlights the special status of gold in international trade—no sanction can freeze a piece of physical gold.
📜 Gold has never truly exited the monetary stage
The 1976 Jamaica Agreement declared gold 'de-monetized', but in reality, it remains hard currency in black markets and arms trades, indicating that its monetary attributes have never disappeared.
🔄 Is the shadow gold standard being revived?
Some have suggested that the world may be slowly returning to a more covert gold standard. Currency is essentially not gold, but gold inherently possesses monetary attributes, while paper currency ultimately cannot escape the fate of returning to zero.
⏳ Investing in gold requires patience
Gold investment is a long-term, gradual process; short-term fluctuations are insufficient to determine fate. Whether to buy gold depends on how long your idle funds can be set aside.
💹 The dark line between cryptocurrency and gold
Notably, the cryptocurrency market has also been rising recently—perhaps these two are driven by the same funds seeking a safe haven outside the dollar system.
The story of gold is far from over.