Gold is in focus – also with central banks

Inflation in Euroland is well above the stated target, so the Irish central bank has acted and bought gold, two tonnes of gold to be exact. Asked why, it said only the gold transactions were "commercially sensitive" and there was no further comment. However, comments from Governor Gabriel Makhlouf suggest that inflation levels were key. According to the World Gold Council, global central bank gold reserves rose by 333.2 tonnes in the first half of 2021. This is 39 percent more than the five-year average for the first six months of the year.

Brazil, Hungary and Thailand have been particularly eager buyers this year. Singapore, for example, increased its gold reserves by a good 20 percent at the beginning of the year. This is despite the fact that many are probably not particularly enthusiastic about the development of the gold price – despite inflation or the onset of stagflation. Many would have expected a higher gold price in the current situation. However, the interest of investors and central banks is there. Perhaps a look at gold’s seasonality will help. For the last four years in a row, the price of the precious metal has been up. If we look at the years since 1970, December on average can only manage the fourth last place in the hit list of the best months for gold. A year ago, the situation was similar to today, a new viral mutation caused a stir, lockdown regulations were tightened.

Times are uncertain even today; inflation is high and the savings in the account are losing value. A look at gold companies as an investment should therefore not hurt.

For example, Gran Colombia Gold, a medium-sized gold and silver producer, which now also operates under the name GCM Mining due to diversification. In Colombia, the company still operates as Gran Colombia Gold.

Gold Terra Resource – https://www.youtube.com/watch?v=IS2lp-5mpBw – owns the large and promising Yellowknife City gold project in the Northwest Territories in Canada.

Current corporate information and press releases from Gold Terra Resource (- https://www.resource-capital.ch/en/companies/gold-terra-resource-corp/ -).

In accordance with §34 WpHG I would like to point out that partners, authors and employees may hold shares in the respective companies addressed and thus a possible conflict of interest exists. No guarantee for the translation into English. Only the German version of this news is valid.

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