Find Out Who Is Holding On To Their Gold Bullion Directly At Gold-Bullion.org
As the nation’s leaders try to speak optimistically about the future of the US economy, and the dollar, it is interesting who is holding on to their gold. It’s Uncle Sam, of course. The United States Treasury Department holds 261.5 million ounces of gold bullion, a third of all the gold held in reserve by nations worldwide. The majority of US Treasury gold is in the national depository in Fort Knox, Kentucky but is spread out in vaults across the country. If the US Treasury Department believed that the dollar was going to rebound and gold lose its value, they might sell a little of that gold before it went down in price. There does not seem to be any move to sell any gold bullion out of Fort Knox.
Nations throughout the world are holding on to their gold or buying more. The consensus seems to be that gold is going up or at least staying put. No government is selling gold. The buying of gold by foreign governments is to a degree, a vote against the dollar. Traditionally many nations bought US Treasury bills because they pay interest and are backed by the United States government. Those who are buying gold bullion seem to expect gold to at least outpace the rate of interest on Treasury bills. These nations are also showing their doubt in the value of the dollar and the ability of the United States to pay its bills.
If for example, the United States were to devalue its currency, foreign nations would be holding US debt worth substantially less and gold worth substantially more. The slow, steady decline in the value of the dollar has had much the same effect of making Treasury bills worth less every year.
Investors who have bought gold bullion over the last ten years know these facts and have prospered as the dollar has lost value. These days, it isn’t just the government that is holding on to its gold.
