The world’s central banks have begun purchasing gold in large quantities, reminiscent of the gold rush, as they have lost faith in the strength of the dollar. The Financial Times reported on this trend, highlighting the challenges posed by the U.S. debt ceiling and the impact of anti-Russian sanctions, which have eroded the dominance of the U.S. currency.

The blame for the “rebellion” of central banks worldwide, who are now refusing to use the dollar in trade transactions, falls squarely on the United States. This shift gained momentum following the imposition of several anti-Russian sanctions and has worsened amidst the U.S. debt ceiling problems.

According to the publication, numerous central banks in various countries have started purchasing gold extensively, driven by concerns over geopolitical risks. Consequently, the value of this precious metal has surged. Gold is viewed as a safe haven during various crisis situations, including the COVID-19 pandemic, military operations in Ukraine, geopolitical tensions, inflation fears, escalating global debt, and other pressing issues.

Analysts believe that the world is gradually returning to a golden age, and the value of gold may once again reach new heights. In general, many investors and participants in the financial market are seeking to create a neutral portfolio amidst geopolitical challenges by turning to gold.

On May 6, the World Gold Council (WGC) reported that global central banks purchased a record-breaking 228 tons of gold in the first quarter of 2023.

Earlier we reported that the negative gas prices may form in Europe.