It used to be that central banks were the big buyers and owners of gold bullion. Think Bank of England. Think US gold reserves in Fort Knox.
Well, it seems the tables have turned.
Central banks are buying less and selling more, with one or two exceptions, like India and China. (Funny how Western countries are selling their gold, but huge, emerging economies are buying it.)
Anyway, now it’s time for private investors, including the likes of you and me.
Private investors worldwide now own 30,000 tonnes of gold, according to metals consultancy GFMS — more than central banks for the first time in modern history.
That has to tell you something. Central banks, and the governments they serve, have turned their backs on gold, and face some very troubled economic times. While at the same time, private investors buy gold for the security it provides.
Bottom line: If our governments won’t maintain financial stability with the help of gold on a national level, we can do it on an individual level.
Gold is safe money.