ECB: Gold Now Second Only to USD in Global Reserves

In 2024 , gold prices surged by 30% , followed by another 30% year-to-date in 2025 , briefly reaching an all-time nominal high of $ 3,500 per troy ounce in April .

European Central Bank’s latest report on the international role of the euro underscores how price dynamics, central bank behavior, and geopolitical realignment have collectively elevated gold’s monetary relevance.

While traditionally influenced by real interest rates and inflation expectations, gold has increasingly decoupled from such monetary drivers.

Non-monetary factors have now taken center stage.

It signals a growing distrust in traditional reserve currencies and a collective desire among central banks—particularly outside the Western alliance—to build resilience against political and financial coercion. In this new global context, gold is no longer a passive relic of the past. It is increasingly being recognized as an active pillar of reserve strategy, with implications that stretch far beyond price charts and interest rate models. This article was originally posted on FX Empire .