“Central Banks only hold gold because of tradition (if you believe their nonsense), so it probably comes as some surprise to many that central banks bought more of this ‘traditional’ asset in the first half of 2019 than they have done in any other first half on record.
“It’s enough to make the skeptics of the world think they might be concerned about something but… well that would be directly opposed to their assurances that everything is under control so… it’s probably nothing.
© 2019 Grant Williams. All Rights Reserved | Things That Make You Go Hmmm…
November 10, 2019
If you’re wondering about Grant Williams’ lampooning “tradition” comment, it’s because U.S. Representative Ron Paul once asked Fed chair Ben Bernanke why central banks hold gold. “Tradition,” Bernanke answered.
Further, in that appearance before the House committee, Bernanke said that “Gold is not money.” Interestingly, gold has been valued in all civilizations for 6,000 years and the Founding Fathers made gold (and silver) integral to the monetary system of the United States. Yet Bernanke does not believe that gold is money.