Central Banks Dump Dollars and Yuan in Favor of Gold

(Nikkei Asia) — Central banks are diversifying away from the dollar and yuan while loading up their foreign exchange reserves with a “stateless currency,” gold, in a nod to intensifying geopolitical tensions and global economic uncertainties.

The proportion of the U.S. currency in global foreign reserves has dropped significantly, from over 70% in the early 2000s. Currently, the dollar’s share of foreign reserves held by central banks and governments worldwide sits at a historic low. China’s currency is also trending lower.