Buyers from central banks are the key driving force behind the record rise in gold prices this year. But even if their heart desires to buy gold, officials rarely give early signals. Officials in charge of managing foreign exchange reserves at the central banks of Mexico, Mongolia, and the Czech Republic apparently broke this model on Monday and expressed support for increasing their gold holdings. These officials said that under the combined effects of heightened geopolitical tension and falling interest rates, the share of gold in the country's foreign exchange reserves is likely to increase in the next few years. So far in 2024, the price of gold has soared by more than 25%, outperforming US stocks and bonds, and rising to record highs.

Buyers from central banks are the key driving force behind the record rise in gold prices this year. But even if their heart desires to buy gold, officials rarely give early signals. Officials in charge of managing foreign exchange reserves at the central banks of Mexico, Mongolia, and the Czech Republic apparently broke this model on Monday and expressed support for increasing their gold holdings. These officials said that under the combined effects of heightened geopolitical tension and falling interest rates, the share of gold in the country's foreign exchange reserves is likely to increase in the next few years. So far in 2024, the price of gold has soared by more than 25%, outperforming US stocks and bonds, and rising to record highs.