New York, NY (PRWEB) March 12, 2013
Global currency reserves have skyrocketed since the turn of the century. According to the World Gold Council, they have doubled in the last five years alone. In 2000, central banks around the world held $1.9 trillion in their reserves. That number ballooned to $11.2 trillion as of the third quarter of 2012, and has continued to swell with the implementation of QE3 and further easing by Japan and other major economies. When this increase in currency reserves is compared with the gold price over the same time period, it becomes apparent that the two are closely related. In fact, the two have had a 98% positive correlation in the last twelve years. Gold bulls point to this data as proof that a currency war is bullish for the yellow metal.
Arthur McGuire, Vice President of Gold Price, says, “This startling correlation between global currency reserves and the gold price clearly reveals that gold’s bull run is far from over. Just last week we saw China quarreling with Japan over its loose monetary policies, as the Yen scored its lowest value against the dollar in three years. The US and Europe are still looking to boost exports from their sluggish economies by devaluing their currencies. This kind of monetary activity isn’t going away. Central banks the world over will continue to pile up their reserves and the practice will continue to be bullish for gold as we go through 2013 into 2014, and beyond. We recommend buying gold now, before it continues this trend and rises higher.”
Gold Price (GoldPrice.net) is a leading precious metals advisor since 1992 with headquarters in New York, California, Texas, Utah, New Mexico and Puerto Rico. Gold Price is also a direct gold and silver dealer, specializing in purchasing, selling and trading physical gold and silver such as modern bullion bars/coins and certified rare coins. They
offer investors a free award-winning gold starter’s kit by visiting http://www.GoldPrice.net or calling 1-800-767-1423.