For the first time in the history of the OMFIF Global Public Investor survey, more central banks say they plan to reduce their US dollar holdings than increase them over the next decade. The currency that has anchored global finance since Bretton Woods is, for the first time in this survey’s existence, seeing net outflows in institutional intent.
The findings, disclosed on June 30, come from 90 institutions collectively managing over $10 trillion in assets.
Gold is the new safe haven, again
A full 82% of surveyed central banks now hold physical gold, up from 71% the previous year. A net 30% of these institutions plan to increase their gold allocations within the next one to two years. The primary motivation isn’t some abstract monetary theory: 51% of respondents cited protection against geopolitical risks as the driving factor.
Some 61% of respondents expect gold prices to reach $5,000 to $6,000 per ounce by June 2027.
