Friday, November 24, 2017

With the U.S. using the dollar as an economic weapon, Russia's accumulation of gold is part of their national security

As the sole authority over the global reserve currency, the U.S. government has not been shy in using the dollar and the SWIFT system as an economic weapon against any country they deem an adversary against their dominance as the primary world power.  And the most obvious instances of this in recent times has been with their unilateral sanctions against Russia, Iran, and over the past few months, North Korea.

In response to these threats, nations have begun undertaking policies of gold accumulation.  And according to the First Deputy Governor of Russia's central bank, their ongoing accumulation of gold is an intrinsic part of their national security.

Russia is increasing a share of gold in its state reserves to beef up national security, Central Bank First Deputy Governor Sergei Shvetsov said on Friday. 
Value of gold in Russia's international reserves managed by the central bank increased to $73.7 billion as of Nov. 1 from $60.2 billion at the beginning of the year, the central bank data showed earlier this week. - Kitco
Over the past decade gold has played an important role against economic sanctions, especially in regards to Iran who facilitated an oil for gold scheme during their decade long suppression by the U.S. government.  And it is very possible that gold could wind up being the catalyst which ends the Petrodollar as well should China follow through with rumors of their using it as a hedge in their upcoming yuan denominated oil contract.

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