Re: Petrodollar further analysis - Putin buying gold with “little fanfare, but on a large scale”

[Zenaan Harkness]

Further, I found this a good read:

http://sputniknews.com/russia/20160226/1035375018/russia-gold-reserves-increase.html
Against the Dollar? What Russia’s Increase of Bullion Reserves Could Mean

10:30 26.02.2016(updated 10:52 26.02.2016) Get short URL
11643350
Russia seems to be launching a silent attack on the supremacy of the
dollar and the Western countries, as President Putin is buying gold
with “little fanfare, but on a large scale”; as there is no evident
economic reason for such an increase, the move will provide Russia
with an insurance against crises, according to German media.

“It is a silent attack on the supremacy of the dollar,” states German
newspaper Die Welt, referring to Russia’s recent increased resupply of
its gold reserves.

The outlet notes that “it is a declaration of independence, proclaimed
in secret.”

( Bank bar manufacturing line opens at Yekaterinburg Plant
( © Sputnik/ Pavel Lisitsyn
( Can Russia's Big Gold Hedge Save the Ruble?

“Russian President Vladimir Putin is buying gold at the moment — with
little fanfare, but on a large scale,” it says, noting that in January
alone Russia’s gold reserves increased by 20 metric tons.

Russia’s stock now stands at more than 1,300 tons, it adds (according
to statistics portal Statista, as of February 2016, it is already
almost 1,400 tons — 1,392,9).

“While politicians fear a new Cold War between Moscow and the West, it
has already begun in the financial sector,” the newspaper further
states.

It also explains that there are no evident economic reasons for such
an increase, therefore it might be also an attack on the supremacy of
the reserve currencies of America and Europe.

“One who buys gold reduces the dominance of the Western currencies,”
the newspaper states.

( Yekaterinburg Non-Ferrous Metals Processing Plant
( © Sputnik/ Pavel Lisitsyn
( Putin's Payoff? Gold Surges Amid Stock Market Mayhem

Since 2005, Russia’s gold reserves have nearly quadrupled, it says,
adding that in the last twelve months they had grown by more than 200
tons.

Ian Bremmer, an American political scientist specializing in US
foreign policy and the president of Eurasia Group, a political risk
research and consulting firm told the newspaper that money is often
used as a financial weapon and in fact, Washington has used the dollar
in the past to put pressure on Russia.

Therefore the Russian head of state apparently wants to avoid such
dependency in the future by using bullion reserves to insure against
crises.

The metal is recognized and is sought after worldwide, and its
stockpile can’t be increased artificially.

The newspaper also notes that there is only one country that is buying
gold even more actively, and that is China.

Its reserves now total nearly 1,600 tons (according to Statista —
1,762,3) – it ranks fifth globally, after the US, Germany, Italy and
France. Russia comes sixth.

Apparently, China also hopes to get rid of the dominance of Western
reserve currencies.