Gold overtakes US Treasuries in global reserve shift: [European Central Bank]

Source: Canadian Mining Journal

Gold overtakes US Treasuries in global reserve shift: ECB

The ECB reports that central banks' gold buying and rising prices have outpaced US Treasuries in global reserves.

By Canadian Mining Journal Staff June 2, 2026 At 9:28 am

Gold has surpassed US Treasuries as the world’s second-largest reserve asset as central banks continue to accumulate bullion and prices remain near record highs.

Bullion accounted for 27% of global central bank reserve assets at the end of 2025, up from 20% a year earlier, according to a European Central Bank report released Tuesday. US Treasuries fell to 22% from 25%, while euro-denominated reserves held steady at 15%.

“Geopolitical tensions continue to drive strong central bank demand for gold,” ECB President Christine Lagarde wrote in the report.

The shift reflects a broader effort by many countries to diversify away from the US dollar, which remains the dominant reserve currency. Those efforts accelerated after Washington froze Russia’s dollar reserves following its 2022 invasion of Ukraine. Despite gold’s rise, dollar-denominated assets still represented the largest share of global reserves at 42%.


Taken from The European Central Bank report, June 2026.
https://www.ecb.europa.eu/pub/pdf/ire/ecb.ire202606.en.pdf

The trend carries implications for global financial markets and the international monetary system. With central banks holding more than 36,000 tonnes of gold, reserve stockpiles are approaching levels last seen during the Bretton Woods era, when currencies were tied to the US dollar and the dollar was convertible into gold.

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