Gold has overtaken United States bonds as central banks reserved assets

[Oshosondy]

This news is a day old. If anyone has posted about it before me, let me know. I have just saw this news not long ago.

You can easily understand the news from the topic title.

But now gold as banks reserves assets has now overthrown United States bonds since 2025.

Gold accounted for 27% of foreign reserves held by central banks worldwide at the end of 2025, according to the European Central Bank. This marks an increase from 20% a year earlier.

The precious metal’s share exceeded that of U.S. Treasurys, which stood at 22%, and the euro at 15%. Other dollar-based reserves made up 20% of central bank holdings.

What do you think is happening?

[Fiatless]

This news is a day old. If anyone has posted about it before me, let me know. I have just saw this news not long ago.

You can easily understand the news from the topic title.

Countries are ditching United States bonds and buying more gold. We all know this, that it caused the price of gold to increase in the recent years.

The rise in gold’s share was driven primarily by surging prices rather than new purchases by central banks.

One would have said that the investors are diversifying from US bonds to gold. But the above statement shows that this is not the case. Countries are not really dumping US bonds for gold.

The reason for Gold's new position is because of the increase in price and not new purchases. It means the US bond could reclaim its spot if gold prices drop.

[Joy_learns_crypto]

What do you think is happening?

I think this post has answers https://goldinvest.de/en/major-shift-in-the-financial-system-gold-overtakes-u-s-treasury-bonds-in-global-reserves gold should have overtaken the United States before now but the US has fought it. The late Libyan leader Muammar Gaddafi worked assiduously to see the gold achieving this current market but the battle was turned against him.
Now I think geopolitical tensions, inflation and avoidance of unforeseen future is making people shift from the United States bond to gold.

[PostQuantumBTC]

This news is a day old. If anyone has posted about it before me, let me know. I have just saw this news not long ago.

You can easily understand the news from the topic title.

Countries are ditching United States bonds and buying more gold. We all know this, that it caused the price of gold to increase in the recent years.

The rise in gold’s share was driven primarily by surging prices rather than new purchases by central banks.

One would have said that the investors are diversifying from US bonds to gold. But the above statement shows that this is not the case. Countries are not really dumping US bonds for gold.

The reason for Gold's new position is because of the increase in price and not new purchases. It means the US bond could reclaim its spot if gold prices drop.

If it was before, the countries are buying US Dept, but the way US is sanctioning countries like Russia and stealing their money from them, they are turning to gold and other assets. Probably bitcoin also in the future.

You do not have to see that they are selling US dollar before you will know that they are ditching the US dollar.

China and Japan are selling the US bond but the bond still remain at $8 trillion which it remain almost stable but just try to interpret it not only what you see on the news.

[Fortify]

This news is a day old. If anyone has posted about it before me, let me know. I have just saw this news not long ago.

You can easily understand the news from the topic title.

Countries are ditching United States bonds and buying more gold. We all know this, that it caused the price of gold to increase in the recent years.

But now gold as banks reserves assets has now overthrown United States bonds since 2025.

Gold accounted for 27% of foreign reserves held by central banks worldwide at the end of 2025, according to the European Central Bank. This marks an increase from 20% a year earlier.

The precious metal’s share exceeded that of U.S. Treasurys, which stood at 22%, and the euro at 15%. Other dollar-based reserves made up 20% of central bank holdings.

What do you think is happening?

China has been making similar moves lately, but for slightly different reasons. Reverting to holding gold, instead of debt between nations, is actually worse for everyone in the long run because it breaks the fragile bonds that have existed between these places for decades since WW2. The less damage you inflict on yourself because you've decoupled from trade partners, the easier it is to go to war with them. I can understand why these nations are rethinking their position with America, because the US president is utter trash, but they should be thinking about decades or centuries ahead instead of these small political hiccups. America has and continues to innovate at quite a pace, but they also have a much more open economy than China and having bonds actually gives more leverage against the US in trade wars - if used properly.

[Fiatless]

If it was before, the countries are buying US Dept, but the way US is sanctioning countries like Russia and stealing their money from them, they are turning to gold and other assets. Probably bitcoin also in the future.

You do not have to see that they are selling US dollar before you will know that they are ditching the US dollar.

China and Japan are selling the US bond but the bond still remain at $8 trillion which it remain almost stable but just try to interpret it not only what you see on the news.

You are right that some countries are reducing their exposure to US bonds because of different factors. You mentioned the case of Japan and China selling US bonds. But you forgot to check if other nations are increasing its purchases of these bonds. US allies like the UK, Canada, and Belgium increased their holdings. But I accept that unstable political and economic policies, sanctions, and wars are making the US bonds volatile and risky.

[PostQuantumBTC]

But you forgot to check if other nations are increasing its purchases of these bonds. US allies like the UK, Canada, and Belgium increased their holdings.

I said that the bonds remain approximately $8 trillion, that means as some countries like China sold, some countries still bought the bonds, the bond did not reduce significantly but neither did it increase significantly. If United States is not careful with how Trump is doing and their other presidents, United States dollar dominance may reduce.

[Adiljutt156]

The central banks are just trying to reduce their dependence on the US dollars and their bonds , gold has always been seen as a safe asset whenever there is any economic uncertainty. They are increasing their gold reserve so they can protect themselves against the risk that could affect their other assets. This does not mean that the US bonds are becoming worthless they are very important and are widely used around the world but just these banks are trying to reduce their own risk by having more reserves in gold.Over the past few years we have seen a very high increment in the prices of the gold and the central banks have seen the demand and now they are a big reason for that.