Posted on 11/24/2022 4:32:24 AM PST by FarCenter
China started stockpiling gold around 1983. Their stockpiling turned into a massive hoarding campaign starting in 2000. They use every legal and illegal means to acquire it.
It is estimated they have about 20,000 tons of the stuff.
Their purchases have driven gold to record highs against the US Dollar. In other words, they are spending more and more USDs to purchase the same amount of gold. They are literally eating USD inflation.
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Increasing demand for dollars counteracts printing of dollars. Those who seld gold to China are the ones that increase demand of dollars. When China offers dollars, it increases their supply, so that contributes to intensify the effects of printing money.
The 2 actions counteract the effects of each other.
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