Central banks have significantly contributed to gold’s record-breaking rally in 2024, with officials from Mexico, Mongolia, and the Czech Republic indicating that their gold reserves are likely to increase due to growing geopolitical tensions and lower interest rates. Speaking at a London Bullion Market Association conference, these reserve managers expressed confidence in gold as a safe asset amid economic uncertainty.
Gold has surged over 25% this year, outperforming U.S. equities and bonds, as central banks seek to safeguard their wealth. Currently, central banks hold an average of 15% of their foreign exchange reserves in precious metals.
Central Bankers Make Rare Comments in Favor of Bigger Gold Stash
Oct 14, 2024
Article from Bloomberg by Yvonne Yue Li
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