Bloomberg/Masaki Kondo and Ruth Carlson/2-27-2022
“Gold has replaced Treasuries as the haven of choice as the conflict in Ukraine worsens, with surging oil prices diminishing the appeal of bonds. The precious metal is gaining in popularity after Russia’s invasion of Ukraine drove Brent crude prices above the $100 mark last week for the first time since 2014. Bullion jumped about 6% this month, while an index of U.S. sovereign bonds slid 1.5%.”
USAGOLD note: Many of our readers will be surprised by this news. There was a time when central bank selling of gold reserves struck fear in the heart of the gold owners. Now the central bank is prepping to sell Treasuries to a similar effect. Meanwhile, in the aggregate, central banks have become net buyers of gold having added 5,710 metric tonnes to their coffers since 2010.
