Follow ButtonFollow @TruthInGold
- Harvey Organ: CHINA OFFICIALY ANNOUNCES LIQUIDATING US TREASURIES! August 28, 2015 The Doc
- Beginning Stages Of A Run On The Retail Precious Metal Market?? August 28, 2015 The Doc
- Peter Schiff: When The Dollar Collapses China Won’t Be There To Catch It August 28, 2015 The Doc
- Gold Prices' Weekly Fall Following a 'Rock-and-roll Week' in Equities, 'Upbeat' US Growth Data August 28, 2015 Thomas Podvin
- Gold Prices Prove Solid as Major Chinese Stock Indices Hit their Lowest Level since December August 25, 2015 Steffen Grosshauser
- Gold Price firms amid China’s ‘Black Monday’ shocks global financial market August 24, 2015 Atsuko Whitehouse
Russia & Mexico Add Gold Reserves in March
Mexico added 16.8 metric tons of gold valued at about $906.4 million to its reserves in March as nations including Turkey, Russia and Kazakhstan increased their holdings of the metal, International Monetary Fund data show.
Mexico raised its reserves to 122.6 tons last month when gold averaged $1,676.67 an ounce, data on the IMF’s website showed. Turkey added 11.5 tons, Kazakhstan 4.3 tons, Ukraine 1.2 tons, Tajikistan 0.4 ton, and Belarus 0.1 ton, according to the IMF. The data shows Russia boosted gold reserves by about 16.5 tons after its central bank said on April 20 they were higher. The Czech Republic reduced bullion reserves by 0.1 ton.
Central banks are expanding reserves after the metal climbed the past 11 years and holdings in exchange-traded products are about 0.7 percent below last month’s all-time high. The banks added 439.7 tons last year, the most in almost five decades, and may buy a similar amount in 2012, the London-based World Gold Council estimates. Gold reached a record $1,921.15 in September.
“We expect that the recent trend of the official sector being a net buyer will continue in the medium and long term,” said Bayram Dincer, an analyst at LGT Capital Management in Pfaeffikon, Switzerland. “Gold will continue to be a preferred central bank reserve asset. It is currency protection and stabilization.”
Gold for immediate delivery traded at $1,637.50 by 8:27 a.m. in London for a 4.7 percent gain this year. The Standard & Poor’s GSCI gauge of 24 commodities climbed 4.6 percent and MSCI All-Country World Index of equities rose 7.5 percent. Treasuries rose 0.2 percent, a Bank of America Corp. index shows.
Turkey’s central bank increased the proportion of required reserves that commercial banks can deposit in gold last year. The changes have increased the amount of bullion the country, which owns 209.6 tons, declares in its official reserves. Russia cut its holding in February for the first time in five years. It’s reserves are at about 895.7 tons, the IMF data show.
Gold accounts for about 3.9 percent of Mexico’s total reserves and 9.7 percent of Russia’s, according to the World Gold Council. That compares with more than 70 percent for the U.S. and Germany, the biggest bullion holders, the data show.