The Debasement Trade Is a Real Worry for Scott Bessent

For some on Wall Street, the investing world is already moving toward a de-facto gold standard.

Look no further than foreign official reserves. A relentless rally means that at current prices, global central banks have more investments in the precious metal than in US Treasuries. From China to India to Poland, governments that have been purchasing gold since Russia’s invasion of Ukraine in 2022 are happily sitting on mountains of capital gains.