Why are Russia and China buying so much gold?
The Russian central bank is aggressively adding to their gold hoard and like China edging closer to backing their currencies with gold. In 2015, Russia increased their gold reserves by 208.4 tonnes and in February alone purchased a further 356,000 ounces. China followed Russia lead by adding a further 320,000 ounces in February.
Lord Rothschild, believes Russia clearly wants to increase their gold holding at the expense of the U.S dollar. Russia has been liquidating its treasury holdings and reinvesting the proceeds to boost their bullion holdings and reduce their foreign debt.
China also regards gold as a strategic assets ...