Russia's actions provoked a rise in gold prices

7

The actions of the Central Bank of Russia provoked an increase in gold prices and contribute to the displacement of the US dollar, writes the publication Zavya from the UAE.

The media notes that the value of gold on world markets is breaking records. Recently, its price "jumped" eight-year high.



Analysts previously suggested that such a development is very likely, as countries need investment and currency stability and can turn their attention to gold. And the central banks of many countries of the world really began to “trade” with precious metals, replenishing their gold and foreign exchange reserves, simultaneously getting rid of “extra” American dollars. At the same time, the Central Bank of Russia was the first to evaluate the situation and its prospects, starting buying up gold several years ago.

Gold is mainly used as an investment asset. The demand of central banks is approximately 15% of total demand, but the latter is growing. Central banks, led by Russia and China, increased its stake in their foreign exchange reserves by purchasing about 2019 tons of gold in 374

- clarifies the publication.

Experts drew attention to the fact that from March to mid-June 2020, gold was still traded on a par with risky assets, such as stocks. But now there is no such thing. Therefore, they do not exclude that private investors (hedge funds) can also push gold prices upward. It is also affected by the depreciation of the US dollar itself.

As the United States intensified trade tensions around the world by imposing new sanctions to affect countries like China, demand for the US dollar has declined. Preference was given to gold, purchases of which continue to increase.

- explains the publication.

The publication believes that investors, both private and public, are worried about instability. economics The United States during the COVID-19 pandemic and the election campaign in the country, accompanied by mass protests. This forces them to seek an alternative for a more reliable investment. All this indicates that the price of gold may rise even more, reaching yet another record highs.
  • https://pixabay.com/
Our news channels

Subscribe and stay up to date with the latest news and the most important events of the day.

VK Zen Telegram
7 comments
Information
Dear reader, to leave comments on the publication, you must sign in.
  1. 123
    123
    +3
    9 July 2020 20: 11
    Oh, these eastern experts. laughing

    As the United States intensified trade tensions around the world by imposing new sanctions to affect countries like China, demand for the US dollar has declined. Preference was given to gold, purchases of which continue to increase.

    investors, both private and public, alarmed by the instability of the US economy

    Why's that? Wow, what fearful investors went. laughing

    This forces them to seek an alternative for a more reliable investment.

    The FRS has broken the STOP button on the printing press, the European colleagues are trying to keep up. In the US, there is an opinion that the dollar will depreciate by 30% next year. I wonder how this is treated in China and Japan? Does the prospect of losing $ 1,5 trillion for two because of the devaluation of overseas money warm the soul?

    central banks of many countries of the world really began to “trade in” precious metals, replenishing their gold and foreign exchange reserves, simultaneously getting rid of “extra” American dollars.

    And who is to blame for all this?

    The Central Bank of Russia was the first to evaluate the situation and its prospects, having started buying gold a few years ago

    Naturally, Russia. Surely without this phrase, the editor will not miss the article. winked
  2. Sergey Latyshev
    Sergey Latyshev
    +1
    10 July 2020 00: 30
    USD 70,92-0,19. To the former 60-65 did not return. That is, the ruble, and Russia is estimated worse than the United States.
    And for some, "the demand for the American dollar has decreased," either for 30 years, or 130 ...
  3. Alexzn
    Alexzn
    0
    10 July 2020 15: 10
    Another crap from the left source. They don’t even try to follow the logic - the last 3-4 months gold was traded as a risky (speculative) resource, but it is alleged that the Russian Central Bank provoked an excessive demand for the most correct money ... Despite the fact that since April the Central Bank of the Russian Federation stopped buying gold back in April.
  4. Alexey Semenenko
    Alexey Semenenko
    -2
    11 July 2020 13: 22
    The crowding out of the dollar - from what?
    Really in the United States will be calculated with gold dimes ?!
    1. 123
      123
      +3
      11 July 2020 16: 03
      Really in the United States will be calculated with gold dimes ?!

      They will switch to the hryvnia. A very stable currency. Floats on the surface, regardless of the state of the economy.
      1. Alexey Semenenko
        Alexey Semenenko
        -2
        12 July 2020 04: 54
        Where the dollar will be ousted from, answer.
        Do not drift off the topic as usual.
        1. 123
          123
          +3
          12 July 2020 09: 55
          Where the dollar will be ousted from, answer.
          Do not drift off the topic as usual.

          Well, if you hardly understand in Russian, I have specially singled out for you, it is written that gold displaces the dollar from gold and foreign exchange reserves.

          And the central banks of many countries of the world really began to "stock up" with precious metals, replenishing their gold and foreign exchange reserves, simultaneously getting rid of "extra" American dollars.

          By what such roundabout ways your twilight mind made a conclusion about the transition of the United States to ducats is a mystery to me.