Thursday, May 28, 2015

Russia’s Central Bank Increasing Gold Reserves

A lesson to learn from Vladimir Putin: When the Empire monetary threatens confiscation, it is time to move into gold.  -RW

CMI Gold and Silver reports:

Russia is increasing its gold holdings because gold is a reserve asset that is free from legal and political risks, a senior Russian central banker said on Tuesday.

The comments by Dmitry Tulin, who manages monetary policy at the central bank, reflect Russian fears that the country’s overseas assets could be frozen as part of a possible toughening of Western sanctions over the Ukraine crisis.

“As you know we are increasing our gold holdings, although this comes with market risks,” Tulin told lawmakers in the lower house of parliament.

“The price of it (gold) swings, but on the other hand it is a 100 percent guarantee from legal and political risks.”

According to central bank data, Russia’s gold reserves rose to 40.1 million troy ounces as of May 1 compared with 39.8 million ounces a month earlier.

(HT Felix Bronstein)

No comments:

Post a Comment