Topic: Banks are dumping US Dollars and Buying Gold (Read 208 times)

Banks, of course, want to make their business profitable, saving fiat including dollars will not get a large profit, but when saving gold, the opportunity for profit is very high because the price of gold continues to rise, it is only natural that currently many countries trade and use gold to replace dollars .

Right from time government have been investing with gold because of inflation until other investment asset comes up, do you know that bitcoin  would have been another good option to invest because of currency inflation, but due to government hates cryptocurrency none will like to use Bitcoin  as option for investment

Governments seemed to actually believe they could maintain people ignorant about the realities of the economy of the world forever, an impossible goal in a world which is interconnected and that allow us to know what happened at the other side of the world in a matter of seconds, and as such the people that understand the current economic model is nothing but a fraud are already taking countermeasures to protect themselves, and as time passes the more evident this will become.

This report is a good indications that people are now become wiser and putting good investments in a store value like GOLD and this leads to bitcoin adoption as well. As they got wiser they will find another store value assets to venture with like bitcoin and it has good significance towards providing good investments like bitcoin.

Everything is much simpler, let's not manipulate the information!

There is a great resource https://www.lbma.org.uk/prices-and-data/precious-metal-prices#/
What is this ? This is the London Bullion Market! This is a wholesale OTC market for gold and silver trading.

On their website you can see in the chronology the change in the price of gold. Above is the link - see. And look at the yearly marks. If you notice, then the surges are quite "synchronized" with the international economy, and absolutely coincide with the 2009 crisis (a consequence of the global financial crisis), the 2019+ crisis (covid-19), the 2022 crisis (Russian terrorist attack on Ukraine and economic terror against the EU). Those. conclusion #1 - nothing out of the ordinary is happening, the classic flow of fiat stocks into gold.

But that is not all. The title of this topic is "banks are draining DOLLARS." We check. If banks drain exactly dollars, then the price in dollars should grow much faster than, for example, the price in Euros. It is logical.
We check - in the chart header there is a currency switch. There is dollar, pound, euro. We change - we observe ... The price in dollars since July 20202 has been periodically changing, in the corridor ~ 1800-2000, but in the pound and euro - a systematic ascending chart.

Conclusion #2. There is NO purposeful exchange of DOLLAR for GOLD. And there is information manipulation and an attempt to wishful thinking

The question is - why MANIPULATE data that is easy to check, and why engage in SUBSTITUTION of the essence of what is happening? No, no matter how much you write such articles - smart countries and people will not refuse the dollar

They just want to preserve their wealth and they don't see it happening with the current situation of dollars. Whilst them buying gold, there will be some of these financial institutions that's gonna buy some other form of assets, who knows if they'll start going on with bitcoin and it's no longer a secret if any of them does it. They always prepare and look at the situation of the economy and they've got some contingency plans if ever something worse comes out of it.
We shall see if this situation will change when the policies and economic moves will be in favor of them, I think that they're a good indication on what's the actual thing that we're seeing lately.

The trust level of US dollar started to climb down when they starts printing enormous amount of money in 2020 for covid crisis so now governments all over the world face inflation such as US so they are looking for the safest option and gold is one of the asset so there is no wonder if governments are increasing their gold reserves but did you notice something by the government? They are not encouraging investors to invest on gold and also increasing tax and duties for gold and jewellery to stop people accumulating it.

It makes me believe that banks who are getting rid of their USD and buying gold are doing so because want to be sure of storing their value in the case of the American dollar losing some global importance in the years to come, facing the Yuan and the BRICS alternative currency.

If they were sure that the USD was not going to suffer in the future, there should be no reason for those banks to buy Gold instead investing that cash in American debt/Treasury Bonds... That is very telling if you ask me.

Perhaps, something could happen and I am not yet completely informed about it. 

Gold is something that gains value against every fiat in the world, doesn't matter if we are talking about dollar, euro, pound, yuan or ruble. This is why getting more and more of it makes a lot more sense, I still would prefer if nations started to get a lot more crypto, that would make a lot of sense and that could give people what they were looking for.

But, sometimes we just gotta face the reality that we are not going to end up with anything like that and just go with gold instead. Main reason is that the money nations have, I mean governments have, is so much that spending all of it on bitcoin would literally cripple the bitcoin economy, even smaller nations may have as much as a few billion dollars easily.

Accepting that this chart is in fact accurate (I wouldn't have reason to doubt it, most countries are dumping USD at record rates) -- If USD stabilizes again, it's possible banks might up their USD reserves again so I'm cautious to call this a significant turning point. These institutions rely on having currency reserves because it makes business more efficient -- they accept inflation to be the price of doing businesses if they can grow the funds at a rate that outpaces inflation. Having near double digit inflation rates for currency that's sitting and decaying isn't worth keeping anymore.

Of course I think it exists, otherwise - I don't think the US government would have specifically warned of the dangers of crypto investing alongside bank collapses.

It is possible that many people have withdrawn their savings budget from banks and are looking for other safe investment options including gold for stability. Another possibility is that some of them consider bitcoin as another store of value, not fiat and gold. That is an assumption that may well have some truth to it, which is why the US has been increasingly warning crypto investors lately.

Dump the dollars and gold and get into Bitcoin, if you are not in already!

Jokes on the side, we all know what banks stand for, so who really cares what they are doing... with an exception of people who have loans there and interest rates are growing, they are directly hit when banks change numbers... just because they can do it.
I chose Bitcoin, it's always good to have some cash and gold (diversification is a must), but I have more faith in crypto than in anything traditional like fiat and gold. I guess it's a fact that Doge is doing better in the last +5 years than many fiat currencies. Something to think about it.

Exactly. There is no other reason as to why banks, governments and institutions would all begin to buy gold at an exceptionally fast rate concurrently unless they know something negative is about to happen to the US Dollar.

I wonder if any of these establishments are buying Bitcoin as well...

It’s a normal reaction towards the weakening dollar due to inflation and the recent Digital Yuan & upcoming Bricks+ currency that will surely get part of of USD dominance globally. Banks is now preparing for the worst case scenario and started to back from the original reserves which is gold that value is consistent over a long period of time.

Economic war will be heightened once China is already ticked the bomb on US looming economic crisis.

The banks know that we're about to see probably the worst financial collapse maybe ever, so no wonder they are all loading up on gold. I think every world government is, they're probably using what's left of their US dollar reserves to do so as well....

The Banks are just gradually opening the people's eye, and they are gradually going back to the old ways where Gold was the biggest reserve any institution could ever have.
With everything happening in the banking sector the continues dollar printing, etc know one is ever ready to trust the dollar system again.
Luckily it's not a obligation or a must do for everyone to use the united state dollar, so every country have the right to initiate and authorize what currency they can actually trade with on international trade with their friendly neighboring countries.

Such decisions by banks are very complex and include many different factors, so it is not possible for me to make an accurate assessment of the banks' dumping of US dollars and purchases of gold. However, it is conceivable that these decisions could be encouraged by a number of economic and geopolitical factors, such as the weakening of the US dollar due to local monetary and fiscal policies. government, a period of global geopolitical instability, uncertain growth in the economy, and the dwindling status of countries' gold reserves.

Banks are buying gold and still have the reserve in US banks, that can be odds but it looks like the safest way for them to protect the value of their money. Many countries are cutting their ties with the Dollar, a lesser exposure can save their own economy. As we've heard some movements in central Asia when it comes to fuel and currency adoption, it looks like they are slowly getting away from the influence of USD and that can tell something. Let's see if Bitcoin will also be their option, the current situation of US Economy can affect a lot, small countries can't afford to ignore this threat.

The dollar has many problems today, and it has been proven that America is strong because of the dollars circulating in the world, and we see that the owner of the dollar is always arbitrary towards other countries that threaten him, of course it will be a special concern for countries if they continue to use the dollar as foreign exchange. countries, moreover some banks in America today are starting to lose control and some of them are already bankrupt like SVB, of course it will have an impact on world confidence if such a failure occurs, which maybe other countries will think worse if they continue to use dollars.
From some information that countries that keep gold in American and British banks they started withdrawing it.

  -   In these times many countries are now really becoming wise and even other individual people are the same in different parts of the world.

Most people already know that the dollar is not backed by gold, it seems that it does not have any support except that they are only increasing their debts to the US government, that is the truth. That's why as far as I know there are other countries that have joined forces with those backed by gold so that they no longer depend on the dollar. This is just what I found out recently.