China may now house the world's 2nd largest gold reserves: Leeb
Renowned investor Stephen Leeb says China has massively increased its gold reserves, ousting Germany from the second place spot.
In an interview with King World News Leeb says that although China keeps a tight lid on data pertaining to its gold reserves, he believes the government's efforts to "push into gold" are more than apparent.
Leeb, as well as the World Gold Council, believe China has plans to back up the yuan with gold in order to shore up its position as a world reserve currency, which is the underlying reason for their ongoing accumulation of bullion.
The Chinese have made efforts to ensure that their accumulation of gold does not disturb price levels, with the upshot being that in several years time bullion could rocket:
…they are importing as much (gold) as they can without trying to disturb the price of gold. You won’t believe what’s going to happen (with the price of gold). I’m telling you in 3 years people will not believe the price of gold. They will not believe the gift that Basel and the West gave everybody that wanted to accumulate gold.