Posted on 04/02/2017 5:29:57 AM PDT by ARGLOCKGUY
Russia's Central Bank purchased record amounts of gold in 2016, and plans to accelerate its purchases, retaining its spot as global leader in the growth of gold reserves. That's according to a recent survey by the GFMS analysts at Thomson Reuters. Russian economists explain the thought process behind the Bank's purchases.
According to GFMS analysts, Russia's Central Bank purchased 201 tons of gold in 2016, more than the central bank of any other country. The Bank made its purchases over 11 consecutive months, with purchases accelerating to an average of 36 tons per month between October and November as gold prices fell.
The analysts expect Russia to continue buying large volumes of gold in 2017, predicting about 200 tons in purchases, regardless of fluctuations in gold prices, oil prices and even exchange rates. For comparison, the report estimates the total purchases of gold by other Central Banks to amount to roughly 250 tons for the year.
As of March 1 2017, Russia's sitting on 1,654.7 tons in gold reserves, making its reserves the sixth-largest in the world, behind the United States, Germany, Italy, France and China.
War or economic downturn. These are the two reasons right off the top of my head to increase gold reserves to this extent.
Just a side note...the article list United States as one of the countries with the largest gold reserves....from what I've read, The U.S. may not have as much as we lead others to believe.
I think Russia is worried their own currency is going to collapse?
Texas has been repatriating their gold and moving it into Texas. Not much in the news about this for past 6 months, but I suspect it is complete. There are plans to have a public storage for gold in Texas. Both Black and Yellow gold will increase the strength and stability of Texas.
Maybe they’re anticipating the dollar’s collapse?
To bypass the US dollar.
Moscow And Beijing Join Forces To Bypass US Dollar In Global Markets, Shift To Gold Trade
http://www.zerohedge.com/news/2017-04-01/moscow-and-beijing-join-forces-bypass-us-dollar-global-markets-shift-gold-standard
I wonder if they are buying Bitcoin too.
The ruble has been getting stronger recently...but I’m not sure why. The ruble is generally tied to the price of oil. Oil has been down, but the ruble has gone up.
They are buying to shore things up. Speculators are wondering how long Russia can withstand low oil prices. Add to that the unleashing of more U.S. energy and they are facing long term low oil prices.
Trump fear? Reagan out moneyed them.
Or unless a nation expects the collapse of the two fiat currencies that dominate the world.
I give the “gold is finished as money” crowd a very open minded listen. But seeing China and Russian hoarding all they can, and seeing Germany want theirs back gives me pause.
Maybe the truth is as simple as what’s in front of our face. The fiat dollar and Euro are in deadly risk and this 50 year experiment with the petrodollar isn’t going to end well.
Well, there is the “golden rule”.
“Whoever has the gold makes the rules.”
They want to collapse the dollar.
Russia’s economy is hurting because of the low oil prices. We are responsible for that. This is the type of economic war that’s up with bullets flying around.
God is not an investment. The mere fact that it might be worth more later has more to do with the strength of the dollar than it does with any change in goals intrinsic value.
Gold is not an investment. Sorry; auto correct.
huh?
Gold is a store of value. More valuable than fiat dollars after an economic collapse or SHTF.
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