Central banks are secretly accumulating massive amounts of gold – over 1,000 metric tons annually – as they diversify away from the U.S. dollar amid rising geopolitical tensions and economic uncertainty. Most of this buying goes unreported, with trade data revealing mysterious gold flows through major refining hubs to undisclosed buyers.
This shift stems from fears about currency weaponization and sanctions risk, making gold attractive as a neutral reserve asset that no single country can control. With many central banks holding far less gold than the global average, there’s substantial room for continued accumulation. This “silent revolution” in reserve management is expected to drive gold prices to $3,700 by year-end, with potential for much higher levels as the trend continues.