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Strategies & Market Trends : The Art of Investing -- Ignore unavailable to you. Want to Upgrade?


To: Sun Tzu who wrote (10401)10/24/2025 7:31:58 PM
From: sixty2nds  Read Replies (1) | Respond to of 10488
 
I have not seen any evidence that Central Banks have stopped buying Gold.

I asked Gemini...
Are the world's Central Banks still buying Gold?
Here's what Gemini said...

<<<Yes, central banks around the world are still actively buying gold and have been for several years, continuing a significant trend.

Here are the key takeaways from recent reports:

  • Record Buying Trend: Central banks have maintained a high level of gold accumulation, with net purchases exceeding 1,000 tonnes annually for the past few years (2022, 2023, and 2024). Current data suggests that this robust buying is continuing into 2025.

  • Recent Activity: In the first half of 2025, central banks added a substantial amount to their reserves, and buying was noted to have rebounded in months like August 2025.

  • Key Drivers: This persistent demand is driven by several factors:

    • Diversification and De-dollarization: A strategy to move away from reliance on the US dollar as a primary reserve asset, given global economic uncertainty and geopolitical risks.

    • Safe-Haven Asset: Gold is viewed as a reliable long-term store of value and a hedge against inflation and financial or geopolitical crises.

    • Geopolitical Concerns: Concerns about sanctions and the evolving international monetary system have accelerated the shift toward gold.

  • Leading Buyers: Major purchasers have included the central banks of China, Poland, Turkey, India, and Kazakhstan.

The ongoing and elevated central bank demand is seen as a key structural support for the price of gold.>>>

Cheers,
60



To: Sun Tzu who wrote (10401)10/24/2025 7:44:03 PM
From: sixty2nds  Read Replies (1) | Respond to of 10488
 
<<<Saying that gold is in a bubble doesn't mean that it is going to crash any day now.>>>

I agree.

<<<For all I know it could go to $5000 before the musical chairs game begins.>>>

$5,000 is a 20% move.
Give say the last 18 months a 20% move just might happen fast...

How high is High?
I do not have a clue.

<<<Often times the most profitable part of a bubble is its late stage.>>>

Indeed.

<<<Just think of the internet bubble. The stocks were in a bubble in 1998 already. But then in 1999 they partied like the world is about to end (and it did). If you said it was a bubble in 1998, you'd be right. But if you didn't buy or worse shorted them, you'd been wrong.>>>

IMO...

I'd rather compare the internet bubble and the AI Bubble.

POG has Global tensions, Monetary system shifts, and possibly inflation as a tailwind.
Those are much stronger drivers than the drivers of the internet bubble.

Cheers,
60