{"id":15977,"date":"2022-12-30T14:57:42","date_gmt":"2022-12-30T14:57:42","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/central-bank-gold-demand-rose-at-the-fastest-pace-in-55-years-analyst-says-silver-could-outperform-gold-in-2023-bitcoin-news\/"},"modified":"2022-12-30T14:57:42","modified_gmt":"2022-12-30T14:57:42","slug":"central-bank-gold-demand-rose-at-the-fastest-pace-in-55-years-analyst-says-silver-could-outperform-gold-in-2023-bitcoin-news","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/central-bank-gold-demand-rose-at-the-fastest-pace-in-55-years-analyst-says-silver-could-outperform-gold-in-2023-bitcoin-news\/","title":{"rendered":"Central Bank Gold Demand Rose at the Fastest Pace in 55 Years, Analyst Says Silver Could Outperform Gold in 2023 \u2013 Bitcoin News"},"content":{"rendered":"

(Originally posted on : Bitcoin News )<\/b>
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According to a myriad of reports, the People\u2019s Republic of China has been buying hoards of gold during the last year. Consequently, World Gold Council (WGC) statistics show the demand for gold by central banks has risen at the fastest pace in 55 years. Meanwhile, Wells Fargo\u2019s head of real asset strategy, John LaForge, contends that when silver starts outperforming gold, it usually signals it is \u201ccloser to a bull market in precious metals versus the other way.\u201d<\/strong><\/p>\n

The World\u2019s Central Banks Are Hoarding Large Sums of Gold, China Recently Purchased 32 Tons of the Precious Metal<\/h2>\n

Precious metals like gold and silver are ending the year a lot higher in value than they were 56 days ago on Nov. 3, 2022. Close to two months ago, on that day, a troy ounce of .999 fine gold was trading for $1,629 per unit and today, prices are 11.48% higher at $1,816 per ounce<\/a>. A troy ounce of .999 fine silver was trading for $19.45 per unit on Nov. 3, and it\u2019s increased 23.29% higher against the U.S. dollar at $23.98 per ounce<\/a>.<\/p>\n

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China\u2019s State Administration of Foreign Exchange detailed for the first time in three years that the country purchased 1.03 million ounces of fine gold in November. China is the sixth largest country in terms of gold reserves held with 63.67 million ounces of gold worth $112 billion.<\/figcaption><\/figure>\n

World Gold Council (WGC) data shows that while there\u2019s been a rise in retail demand, central banks are hoarding gold<\/a> at an extremely fast pace. A number of reports<\/a> citing WGC data show that the central banks\u2019 current demand for gold has risen at the fastest pace since 1967. China recently disclosed<\/a> that the country purchased 1.03 million ounces of fine gold or the equivalent of 32 tons of the precious metal. China\u2019s State Administration of Foreign Exchange detailed the purchase cost the country around $1.8 billion.<\/p>\n

China has a reported 63.67 million ounces of gold, which is worth roughly $112 billion. Adrian Ash, the head of research at Bullionvault told<\/a> Financial Times (FT) reporter Harry Dempsey that the central banks\u2019 flight to gold may suggest \u201cthe geopolitical backdrop is one of mistrust, doubt, and uncertainty.\u201d While China is among gold reserve giants like Germany, the U.S., Russia, Italy, and France, a number of smaller central banks have also been buying large quantities of gold. To single out a few specific examples, Turkey, Uzbekistan, and Qatar have accrued substantial sums of the precious metal in 2022.<\/p>\n

Wells Fargo Real Asset Strategy Analyst Says Silver Is Signaling a Possible Precious Metals Bull Market Breakout<\/h2>\n

Wells Fargo\u2019s head of real asset strategy, John LaForge, is looking at silver ahead of gold according to his recent commentary<\/a> with Kitco News on Dec. 29. \u201cI am a little more positive on silver now that we are back to $23. It is the high-beta play. Silver is showing signs that whatever weakness we see in gold, it is probably short-lived,\u201d LaForge told Kitco\u2019s Anna Golubova.<\/p>\n

\u201cWhen silver starts beating gold, it is closer to a bull market in precious metals versus the other way,\u201d the Wells Fargo executive added. LaForge believes gold prices will be anywhere between $1,900 to $2,000 in 2023, and he insists it\u2019s quite possible silver could outperform the yellow precious metal.<\/p>\n

\u201cOver a supercycle, which is 10+ years, percentage-wise, silver does better than gold,\u201d LaForge remarked. \u201cThat\u2019s what happened during the last cycle between 1999 and 2011. That is typical \u2026 You can sense gold wants to go higher next year. Gold had a rough two and a half years,\u201d the Wells Fargo executive further elaborated.<\/p>\n

\u201cIn the last couple of months, with all the talk about the Fed pivoting, gold started to perk up. Next year, both gold and silver will do well. Silver might do even better,\u201d LaForge concluded. So far, with a 23.29% increase compared to gold\u2019s 11.48% jump since Nov. 3, silver is doing a lot better than gold against the greenback. Platinum, too, has jumped a great deal, rising from $915 per ounce 56 days ago to today\u2019s $1,051 per ounce.<\/p>\n

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\nTags in this story
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Central Banks<\/a>, France<\/a>, Germany<\/a>, gold<\/a>, Gold Bars<\/a>, Gold Buying<\/a>, Gold Demand<\/a>, Italy<\/a>, John LaForge<\/a>, Kitco<\/a>, Kitco News<\/a>, platinum<\/a>, precious metal<\/a>, Precious Metals<\/a>, qatar<\/a>, Russia<\/a>, silver<\/a>, silver bars<\/a>, Silver Outperforms Gold<\/a>, Silver Price<\/a>, supercycle<\/a>, the U.S.<\/a>, Turkey<\/a>, Uzbekistan<\/a>, Wells Fargo<\/a>, Wells Fargo analyst<\/a><\/div>\n<\/p><\/div>\n

What do you think about the central banks\u2019 demand for gold in 2022? Let us know what you think about this subject in the comments section below. <\/strong><\/em><\/p>\n

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\nJamie Redman <\/h6>\n

\nJamie Redman is the News Lead at Bitcoin.com News and a financial tech journalist living in Florida. Redman has been an active member of the cryptocurrency community since 2011. He has a passion for Bitcoin, open-source code, and decentralized applications. Since September 2015, Redman has written more than 6,000 articles for Bitcoin.com News about the disruptive protocols emerging today.

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Image Credits<\/b>: Shutterstock, Pixabay, Wiki Commons, Editorial photo credit: VladKK \/ Shutterstock.com<\/em><\/p>\n

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