Change in Central Bank Gold reserves
Let’s take a quick look at this graph. Who is the largest buyer and seller of physical gold in the last 20 years? Acording to available statistics, we could see that the Russia and China are the largest buyers with purchased of +800 (Russia), +700 (China) tonnes of physical gold in the last 20 years. In 2015. the Russia holds a total of 1150 tonnes, while China holds a total of 1050 tonnes of gold. While they are buying more and more, Switzerland is the bigger seller and until 2000. to 2007. the SNB has sold 1500 tonnes of gold and currently has a total of 1000 tonnes. Check out the changes at the other countiers as well, interesting battle in the ‘physical gold market’.
Forex Trader 
Those in the UK will recall Gordon Brown selling something like half the British gold against the advice of the Civil Service at a rock bottom price creating what has subsequently become known as Brown’s Bottom. Interesting that Russia whose economy of late has been beset with problems has been the biggest buyer. There are two arguments in respect of holding gold. The first is underutilization of capital resources. If the nations wealth is tied by in gold, it is not working to build the economy’s strength. The other side of the coin is that a country with a large gold reserve will have investors confidence and be a magnet for further investment and lower interest rates which are a good environment in which to grow an economy. The answer lies somewhere in the middle and possibly the United States have got it absolutely right together with a number of the old world economies including possibly Italy and Germany. I am somewhat surprised that German has been one of the biggest buyers, however it is probably better than buying Greek bonds of which it already has many – interest rate better on Greek bonds though chances of getting ones money back is not so good.
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