2023-05-24 19:04:00
Gold is very popular with central banks: they bought it massively in 2022, especially in emerging markets. In 2022, the central banks additionally stored a record amount of 1,136 tons of the precious metal. Gold purchases are on record course once more this year. Ronald-Peter Stöferle from Vienna, fund manager at the asset manager Incrementum in Liechtenstein, informed regarding this on Wednesday. He presented the report “In Gold we trust” with Mark Valek in Vienna.
Accordingly, the recourse to gold took off shortly following the Russian attack on Ukraine and the US sanctions once morest Russian reserves. The renaissance of gold as a central bank reserve also has something to do with the war in Ukraine, but is generally a sign of the exit from the dollar as a reserve currency in many countries, said Valek. Central banks are likely to continue to be drivers of gold purchases and thus of the gold price in the years to come.
While gold reserves were mined from the 1960s to 2009, there have been additional deposits every year since then. The five largest emerging markets (Brazil, Russia, India, China, South Africa) are securing a significantly increasing share of the reserves. By 2050 at the latest, there should be more gold in the emerging countries than in the industrialized countries.
Bild: Growth
recession and inflation
China and India also dominate when it comes to gold for consumers: the two countries have imported 35,000 tons of gold over 20 years and are responsible for more than half of global consumer demand. “We forget that the price of gold is being made more and more in the emerging countries,” said Stöferle. Demand from these countries should not decrease.
The gold experts are also assuming a recession: This would be indicated, for example, by the decline in the money supply, the tightening of lending and the inverted yield curve. The experts are also pessimistic regarding inflation: inflation is going down, but a third wave is currently building up.
Image: OÖN graphic
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