According to countless reports, China bought the gold of As a result, World Gold Council (WGC) statistics show that demand for gold by central banks has increased at the fastest pace in his 55 years. Meanwhile, John Laforge, head of real asset strategy at Wells Fargo, argues that when silver starts to outperform gold, it usually “indicates that we’re approaching a bull market in precious metals.”
Central banks around the world are hoarding large sums of gold, and China recently purchased 32 tons of precious metals
the value of precious metals such as gold and silver. is significantly higher, ending the year higher than it was on November 3, 2022, 56 days ago. Nearly two months ago on that day, a troy ounce of .999 fine gold was trading at $1,629 per unit, but today it is up 11.48% to $1,816.per ounce. .999 troy ounces of pure silver traded at $19.45 a unit on Nov 3, up 23.29% against the US dollar to $23.98 perounce.
Data from the World Gold Council (WGC) shows that central banks are hoarding gold at a very fast pace while retail demand is increasing. A number of reports citing WGC data show that the central bank’s current demand for gold is rising at its fastest pace since 1967. China recently revealed that it had purchased 1.03 million ounces of her fine gold or the equivalent of 32 tons of precious metals. China’s State Administration of Foreign Exchange details the purchase at approximately $1.8 billion.
China has 63.67 million ounces of gold, worth approximately $112 billion. Adrian Ash, head of research at Bullionvault , told Financial Times (FT) reporter Harry Dempsey that the central bank flight to gold was “a geopolitical backdrop of distrust, doubt and uncertainty. It is one,” he said. While China is among the gold reserve giants such as Germany, the United States, Russia, Italy and France, many smaller central banks also buy large amounts of gold. Turkey, Uzbekistan and Qatar, to name a few specific examples, will see him gain significant amounts of precious metals in 2022.
Wells Fargo Real Assets Strategy Analyst Says Silver Suggests Possible Breakout of Precious Metals Bull Market
Wells Fargo Real Assets Strategy John Laforge, head of the 29th December Kitco News, is focusing more on silver than gold, according to his recent commentary in Kitco News on December 29th. Now it’s back to $23. It’s high beta play. “Silver shows signs that whatever weakness we see in gold is likely to be short-lived,” Laforge told Anna Gorbois of Kitco. Once we get started, we are approaching a bull market in precious metals,” the Wells Fargo executive added. LaForge believes the price of gold will be between $1,900 and $2,000 in 2023, arguing that silver could well outperform the yellow precious metal.
“On a 10+ year supercycle, percentage-wise, silver outperforms gold,” says Laforge. “That’s what happened in the last cycle from 1999 to 2011. It’s typical… you can feel gold wanting to go higher next year. It’s been a year and a half,” the Wells Fargo executive further elaborated.
“Gold has started to gain momentum in all the Fed turnaround talk over the last few months. Gold and silver will both do well next year. Silver may do better,” Laforge said. concluded. So far, he’s up 23.29% compared to gold’s up 11.48% since November 3, making silver far better than gold against the dollar. Platinum also gained significantly, rising from $915 an ounce 56 days ago to $1,051 an ounce today.
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