Peter Schiff-
Gold remains the bedrock of reserve holdings at central banks, even in a world dominated by fiat currencies.
Apparently, when it comes to a paper-based global monetary system, it's easier to talk the talk than walk the walk.
Government officials the world over, but especially in the developed world, have been quick to call gold an anachronism – unsuitable for a modern, globalized economy.
But these same governments have never found it in themselves to sell off their holdings, or for that matter, to surrender even a substantial fraction of them.
Those who have clamored the loudest have, in fact, behaved the most conservatively.
The US, which has a whopping 75 percent of its reserve holdings in gold, and the Western European countries, which have an average of approximately 64 percent of their reserve holdings in gold,
seem to believe no one should own gold – except them!
It shouldn't surprise anyone that emerging market central banks have spotted the double standard.
As they advance economically, these nations are less likely to do what Washington tells them is right and more likely to think for themselves.
And with an average of less than 20 percent of their reserve holdings in gold, they clearly know they have some catching up to do.
Behind the smoke and mirrors then, central banks in the developed world are hoarders.
Central banks in the emerging markets are scramblers.
Significantly, nobody is selling, only buying.
Apparently, when it comes to a paper-based global monetary system, it's easier to talk the talk than walk the walk.
Government officials the world over, but especially in the developed world, have been quick to call gold an anachronism – unsuitable for a modern, globalized economy.
But these same governments have never found it in themselves to sell off their holdings, or for that matter, to surrender even a substantial fraction of them.
Those who have clamored the loudest have, in fact, behaved the most conservatively.
The US, which has a whopping 75 percent of its reserve holdings in gold, and the Western European countries, which have an average of approximately 64 percent of their reserve holdings in gold,
seem to believe no one should own gold – except them!
It shouldn't surprise anyone that emerging market central banks have spotted the double standard.
As they advance economically, these nations are less likely to do what Washington tells them is right and more likely to think for themselves.
And with an average of less than 20 percent of their reserve holdings in gold, they clearly know they have some catching up to do.
Behind the smoke and mirrors then, central banks in the developed world are hoarders.
Central banks in the emerging markets are scramblers.
Significantly, nobody is selling, only buying.
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