GoldSwitzerland/Ronni Stoferle/4-15-2022
“The ‘militarization of currency reserves’ has deprived the world’s reserve currency, the US dollar, of its neutrality, a neutrality that is indispensable for a universal currency. The euro and other Western countries who are potential competitors for the US dollar’s position have taken themselves out of the game immediately. The Chinese yuan alone will not be able to take over the role of the US dollar in the foreseeable future, even though China is now the most important trading partner for two-thirds of all countries. The lack of convertibility, a lack of trust, rudimentary legal security and a comparatively small bond market make it highly unlikely that the yuan will be able to replace the US dollar any 
time soon. Therefore, 50 years after the closing of the gold window, the chances are that gold may play a role again in the inevitable reshaping of the world monetary order. Gold is politically neutral, it does not belong to any state, political party or institution. This neutrality could serve as a bridge of trust between the geopolitical power blocs that currently seem to be emerging.”
USAGOLD note: In order for gold to play a meaningful role in the reorganization of the international monetary system, the price will have to be adjusted upwards, according to Stoferle – perhaps radically upward. We recommend the full analysis at the link. It offers considerable food for thought. We will add that gold serves the same purposes in the private investment portfolio that it does in the reserve holdings of nation-states and their central banks.
