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Gold rush of central banks reflects fragile and unbalanced recovery
The World Gold Council said in a report on Monday that central banks continued to buy gold on a large scale in October, pushing global official gold reserves to increase by a net 42 metric tons in a month. It is unusual for so many central banks to hoard gold on such a large scale. Although a most reliable safe asset, geopolitical conflicts do not necessarily lead to a spike in gold prices. In fact, the price of gold went down during the United States-led wars in Afghanistan and Iraq. However, the Russia-Ukraine and Israel-Palestine conflicts, in which the US is not directly involved, have triggered a rise in gold ... (full story)