“The Dollar has peaked.”
~ Egon Von Greyerz
Since the Federal Reserve started cutting interest rates, central banks around the world are expected to pick up their gold buying and…Moving away from US Treasuries.That’s been a ongoing trend since 2014. 
Gold purchases have been going up while more and more central banks have been selling their treasuries.Since 2019, the gap between gold and US treasuries as a percentage of Central Bank reserves has been closing sharply.It appears as though gold may soon overtake US treasuries. 
In fact, we’re almost up to 1970 levels of central bank gold holdings.And, like I was saying, as the Federal Reserve cuts rates, we’re likely to see the trend continue. 
And that means, the price of gold will most likely continue to go up.Other than Central Banks buying up huge amounts of gold, ETFs also do a great job of that.So, the simplest investment one could make right now, would be to mind the massive gap between gold ETF flows and the price of gold.The historical trend is that they follow one anotherThat is, until last year.Look below: 
So, although the price of gold continues to be driven higher, investment and therefore, gold continues to be driven out of ETFs, which is another signal for the retail investor.If money flows into Gold ETFs, the price of gold will most likely be driven even higher.That would point toward the GDX.More By This Author:Bondage And Bravado: Were Rate Cuts Too Early?
Watch The Housing Bust Play Out In Real-Time
A Desire Fulfilled: 3 Factors Driving Gold Soaring Prices
