Russia Boosts Gold Stockpile by Most Since 1998

Bloomberg reported that Russia increased its gold stockpile by 37.2 metric tons (MT) in September. That’s the biggest rise since 1998; the stockpile now sits at 1,149.8 MT.

As quoted in the market news:

The increase, valued at about $1.5 billion, was the biggest since November 1998. Russian reserves, which overtook those of Switzerland and China this year, almost tripled since the end of 2005 and are at the highest since at least 1993, the data show.

A weakening ruble in the face of currency interventions is stoking speculation the Bank of Russia will accelerate its switch to a free float. The country, which defaulted on $40 billion of local debt in August 1998, is draining reserves as tumbling oil prices and U.S. and European sanctions over President Vladimir Putin’s intervention in Ukraine worsen the ruble’s losses and dollar shortage. Gold prices slid the most in 15 months in September.

Click here to read the full Bloomberg report.