America is bullish on gold.
The Nasdaq just hit an all-time high, the Dow Jones Industrial Average is reclaiming its losses, and the S&P 500 is booming. And yet, not everyone is convinced of the recovery. Or perhaps it is fear of rampant price inflation from the Federal Reserve?
Either way, new customs data suggest that Americans accumulated gold last month. Switzerland exported 126.6 tons of gold worth more than $7 billion to the U.S., which is the biggest monthly shipment in history.
Interestingly enough, the two largest buyers of gold, China and India, were near record lows.
More from Reuters:
Switzerland, a major trading, vaulting and refining center for precious metals, has now shipped 281 tonnes of gold to the United States since the start of March – 15 times more than was shipped in the whole of 2019.
Meanwhile, Switzerland shipped 503 kg (0.5 tonnes) of gold to India, 42 kg to Hong Kong and no gold at all to China in May. Each of these destinations usually receives hundreds of tonnes of metal from Switzerland a year.
Since the start of March India has imported 7.6 tonnes, Hong Kong has taken 195 kg and mainland China has received nothing. In total, Switzerland exported 141.9 tonnes of gold in May.
Gold and silver are the safest assets to hold in this market. Remember, this is not the bust phase of the business cycle – that comes later.
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