Photo: Ilya Naymushin / Reuters
Russia over the last decade, four times increased its gold reserves and earned billions of dollars thanks to the increase in the value of the precious metal to a six-year high. About it writes Bloomberg.
Last year alone, the cost of gold reserves of Russia increased by 42 percent, to 109.5 billion. Now gold has the highest share in Russian reserves since 2000.
“The massive substitution of dollar-denominated assets of the gold — a strategy that allowed the Bank of Russia to earn billions of dollars just a few months,” said a strategist at Danske Bank Vladimir miklashevskii.
In recent years, the Russian Central Bank was the largest buyer of gold. Russia started to buy the precious metal to reduce dependence on the U.S. dollar against the background of deteriorating relations between the two countries.
The price of gold rose amid escalating trade conflict between the United States and China. Due to the instability of the financial markets, investors prefer to invest in safe assets, particularly in gold.It is noted that in June the price of precious metals on the stock exchange in London set the highest point for six years, rising in the course of trading to 1439,21 dollars per ounce.
Video, photo All from Russia.