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Gold overtakes U.S. Treasuries as the largest foreign reserve asset
- justsomedev2 7mo agoCant wait for US to go bankrupt
- nickserv 7mo agoBe careful what you wish for.
- hackernews682 7mo ago[flagged]
- deleted 7mo ago[deleted]
- therobots927 7mo agoAmerica really is in for a wake up call.
- refurb 7mo agoWhy? Because gold bugs caused a gold bubble?
- NewJazz 7mo agoDebt spiral
- deleted 7mo ago[deleted]
- themafia 7mo agoThe federal government is. We'll see if the founders concept of a union of states is worth as much as it was proclaimed to be.
- therobots927 7mo agoThat’s interesting. Hadn’t thought of it that way. I can’t for the life of me figure out why more blue states aren’t taxing their wealthy occupants to cover the gap in lost federal funding from DOGE. If they were smart they would start stretching that muscle.
- Acrobatic_Road 7mo agothey are trying and its backfiring on them
- dpb001 7mo agoThe union of states arrangement has the side effect of putting the states in competition with each other for things like new/expanding businesses and residents. It's relatively easy to relocate (or even remain in a state while legally "residing" elsewhere). So there are diminishing returns to raising the tax rates significantly on the upper brackets at the state level. I'm not a believer in the trickle down theory but beyond a certain marginal rate many people would just move to a state with a lower rate.
- vincnetas 7mo agothis somehow excludes such human concept as sense of belonging. might be in usa it has atrophied already but sense of home is really important in some places. place where you spend most of your life, where you have you real social network, neighbors and childhood friends. sometimes its lower tax is not worth loosing it all. its not everything about money (for some) ps im talking about real persons here, not corporations
- fc417fc802 7mo ago
- consumer451 7mo agoThe fact that this all happened by choice is really something. It's like witnessing a self-decapitation.
- SilverElfin 7mo agoIt’s not a self decapitation exactly. I think Trump, his family, his corporate donors, and other friends are all willing to sacrifice everyone else - including the lead America had - to make themselves rich and powerful. Every single decision to spend - defense, ICE contracts, AI, approvals of anticompetitive acquisitions, changes to regulations, etc - is making that circle richer at our expense. They don’t care if American supremacy is lost or if the dollar crashes or if the national debt becomes a crisis. As long as they have their wealth. The public is being decapitated, not them.
- refurb 7mo agoHow does sacrificing America's lead make American oligarchs richer? That doesn't even make sense.
- vincnetas 7mo agobasically make decisions that make no sense but benefit you financially. Sample. you run a printing business. you dont own it just run it. you sell your main printer and assign a performance bonus to your self. next month your business is closed because you dont have equipment to print, but you also have your bonus in pocket.
- bijowo1676 7mo agojust like stock trader, you can get rich from going long, you also can get rich by shorting the economy (selling short). this is what trump is doing: selling America short
- toyg 7mo agoIt does, it's textbook "banana republic". Dictator and close circles enrich themselves, everyone else gets poorer. US voters were so worried that South America would come to them, that they have become the worst of South America.
- nmbrskeptix 7mo ago[dead]
- potamic 7mo agoDated Jan 9. When the headlines is in present tense, it is kinda misleading to post as-is at a later time.
- deleted 7mo ago[deleted]
- icegreentea2 7mo agoThe events of the last year certainly have a role to play, but the overall effect is just the result of trendlines that have been in play for quite a while. Here's a world gold council (i know...) review/survey of central banks gold holdings from mid 2025 (https://www.gold.org/goldhub/research/central-bank-gold-reserves-survey-2025 https://www.gold.org/goldhub/research/central-bank-gold-rese...). It notes that gold purchases (by mass) have been elevated going back to ~2023. Gold prices have also been on an upward trajectory ever since 2023 (https://goldprice.org/gold-price-history.html https://goldprice.org/gold-price-history.html) Whatever is happening now is bigger than actions over the last year.
- bijowo1676 7mo agoGold has always been stable, because it is physically limited. It is the fiat currency debasement via unlimited money printing that makes the gold chart go up. Imagine being in Zimbabwe or Weimar Germany and watching your stock portfolio and gold going up...
- andsoitis 7mo ago> Gold has always been stable, because it is physically limited. Incorrect. Physical scarcity matters, but it’s not the main driver. Gold’s price is far more sensitive to interest rates, dollar strength, sentiment and fear, speculative flows. The stability it’s historically shown was mostly the result of fixed monetary systems, and those are long gone.
- bijowo1676 7mo agoits because you are measuring stable Gold in volatile fiat which is being printed every day depending on the factors you mentioned (interest rates, expectations of future growth, sentiment etc). because you are getting paycheck in fiat, you are psychologically programmed to think of fiat as something stable, and Gold as volatile. while in reality prices expressed in Gold ounces remained fairly stable for example: https://i.redd.it/1b5mfrqkxxef1.jpeg https://i.redd.it/1b5mfrqkxxef1.jpeg
- johng 7mo agoIf the value of gold goes up, doesn't this essentially help the US anyway? I believe our gold reservers are twice that of the closest country? Source: https://tradingeconomics.com/country-list/gold-reserves https://tradingeconomics.com/country-list/gold-reserves
- somenameforme 7mo agoToo tired to write a novel like I usually would here, but we control the printing and, in large part, the distribution of USD. We don't control anything about gold. Then the USD was king, it entailed tremendous power and control in many ways beyond the obvious like the ability to try to kick people out of the 'global' economy. This is the not-so-secret purpose behind BRICS and dates back to issues starting in 1971.
- aloha2436 7mo agoAmerica was in practice running an empire that collected tribute from the rest of planet earth in exchange for entries in a database denominated in a currency they controlled and that was accepted everywhere. Really the only way it could go wrong is putting it under the control of someone who doesn't understand the kayfabe...
- bijowo1676 7mo agoelections have consequences...
- laughing_man 7mo ago[flagged]
- rapind 7mo agoThis glosses over what Bush was handed from the previous guy and then what he left behind for the next guy.
- laughing_man 7mo agoThe "previous guy" was constrained by a once-in-a-lifetime Congress that was serious about deficits, and he also benefited by another once-in-a-lifetime spurt of economic growth that dramatically increased tax revenue. As soon as Congress realized they'd been handed a deficit-free budget they went about spending with wild abandon. And anyway, since that guy we've had two presidents over three terms where the other party controlled the presidency and they didn't and they certainly didn't break the pattern. Let me ask you this: If you wanted to vote for a guy (or gal) who was serious about reducing the deficit instead of someone who doesn't care as long as the wheels don't come off during his term, who would you vote for?
- AnthonyMouse 7mo agoHere's the better question: If you were serious about reducing the deficit, what would you cut? It should be possible to reduce Medicare costs significantly by going after healthcare costs in general, i.e. create a ton of new medical residency slots and train a lot of new doctors, and make the healthcare companies actually compete with each other. The AMA and healthcare companies are going to fight you hard. We currently make large social security payments to affluent retirees who paid in less than we're paying them out. We could reform the system to cost less, i.e. not pay out as much to people who don't need the money. The AARP isn't going to like it. The DoD budget is pretty big and a lot of it is waste or corruption. But to do this well you have to be good at identifying which parts, you still can't eliminate all of it because some of it is pretty important, and this one is the smallest of the three. And the defense contractors will try to stop you. To make a meaningful dent in the deficit you would have to do at least two of those but no one is willing to do any of them.
- yalogin 7mo agoI am actually convinced that the last year started the descent of the U.S. as the world’s super power. No wonder U.S. treasuries lost trust. It’s only going to get worse. It doesn’t matter what some billionaires do/get from their ability to manipulate some powers be. The rest of the investment community understands that free markets are strengthened by rule of law and adherence to the law and deploying a self styled socialistic distribution of economic capital is not signaling strength but weakness to the world.
- laughing_man 7mo agoPeople have been convinced of that my entire life, and I'm old now.
- vincnetas 7mo agoyes it takes multiple generations until empires collapse. even then there are remains left. usa will not disappear it will just become less relevant.
- sph 7mo agoDreaming of the day where the average non-American doesn't know who the US attorney general is, the name of their secretary of war, and the details of every internal political machination.
- 9dev 7mo agoI recommend dreaming of they day they don't have a secretary of war but defence again
- C6JEsQeQa5fCjE 7mo agoI don't mind the name change because it more correctly signals what the position has always been -- a secretary of war with a "secretary of defense" mask on.
- Animats 7mo agoWow. This reflects the price of gold going up. A lot.
- edweis 7mo agoIs there a place where we can find the complete USA investment portfolio?
- Havoc 7mo agoYou mean debt portfolio?
- richardatlarge 7mo agoSilver has gone up more by percentage since 47, as a side note
- znnajdla 7mo agoFor the first time in history we are seeing multiple signals of USD losing its #1 position to EUR, all within the last year : 1. Euro-denominated interest rate derivatives (IRD) overtook US dollar-denominated contracts in the over-the-counter (OTC) market for the first time in history and the scale of the crossover is staggering. 2. EUR Real Effective Exchange Rate (REER) which measures actual purchasing power (not nominal price) is going in the opposite direction of USD real purchasing power (RTWEXBGS). 2025/2026 is the largest divergence in history: 10 percentage points in a year. 3. US treasuries is no longer a number 1 foreign reserve asset. EUR reserves grew 2.5x faster than USD reserves when measured in its own absolute terms. Unlike the Eurozone which maintains a fiscally responsible budget with reasonable debt and a trade surplus, there is simply no foreseeable fix to the problem of ballooning US debt and trade deficits. Nothing can fix the US budget mess. Anyone who is paying attention to the numbers would certainly have more confidence in EUR over USD.
- 9dev 7mo agoAre you tired of winning yet?
- mt18 7mo ago[dead]
- tsoukase 7mo agoSince a lot of time the US economy and finance are under stress. Not panic but stress. And this makes the leaders stressful too, so they take defensive and hostile actions, most lately by the Trump's government. The world will neither wait nor allow the US to remain leader, especially with non standard ways. The world changes to a tri-pole with satellite nodes. Gold price is just a variable in the system and is dependent of the global state.
- pkilgore 7mo agoMonths old article.
- daft_pink 7mo agoIt’s obvious that printing money is the best way out of the USAs debt problem. Gold still sucks though.
- fleroviumna 7mo ago[dead]