One move by China and US will come on its knees..., gold price will jump to as high as..., know what is Beijing's plan?
(File)
China Gold Reserves: China, the world's largest producer of gold, is rapidly procuring enormous quantities of the precious yellow metal to counter the threat posed by the import tariffs imposed by US President Donald Trump which sparked a trade war between two countries. The China-US trade war has had an alarming impact on gold and silver prices that reached record levels, amid rising geo-political tensions and market uncertainties.
While the prices of gold are silver are increasing at a steady pace, some experts have claims that these may tumble by 10-15% in the next few months, which could bring gold prices down to Rs 85,000 per 10 grams. China aims to increase gold demand
However, Alok Jain, the founder of WeekendInvesting believes a seismic shift is coming in the global monetary system, in which gold will become the most sought after economic asset by countries and individuals. Taking to X, Jain said that China has realized this, and is encouraging its citizens to hoard as much gold as they can.
According to Jain, China is planning to increase the demand for gold, expand the gold trade, and establish gold standard as the dominant currency in global trade by starting the Shanghai Gold Exchange in China and Middle East. 'They (Chinese) have realised that the coming era belongs to gold,' Jain wrote. Beijing's plan to dethrone US dollar
As per experts, China has employed a long-term strategy to reduce its dependence on the US dollar in global trade by replacing it with the Chinese RMB (Yuan) and gold in bilateral transactions. Earlier, in March 2025, China Banking and Insurance Regulatory Commission (CBIRC), introduced a new rule that mandates insurance firms to invest at least 1% of their assets of 32 trillion Yuan (more than $4.5 trillion) in gold.
This move is expected to infuse billions of dollars in China's gold market.
Additionally, Beijing has established the Shanghai Futures Exchange (SHFE) where insurance companies can buy gold directly. This is the first time when the SHFE is offering to sell the gold directly to insurance firms.
Notably, since the beginning of 2024, the Central Bank of China has been encouraging Chinese citizens to buy more gold, due to which gold consumption in China surged by almost 34% in a single year. China gold reserves
While China is the world's largest producer of gold, it lags behind several nations in gold reserves, a list which is headed by the US, with 8,133.46 tonnes in reserves in 2024. Germany has second largest gold reserves at 3,351.53 tonnes, followed by Italy (2451.84 tonnes), France (2436.97 tonnes), Russia (2335.85 tonnes).
China ranks sixth on the list of countries with the largest gold reserves, with 2264.32 tonnes of gold lying in reserve. Experts believe China aims to increase its gold reserves to 5,000 tonnes in the near future.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
United News of India
32 minutes ago
- United News of India
Microchip giant NVIDIA woos European markets amid ongoing US-China trade war
Santa Clara, June 12 (UNI) American microchip giant NVIDIA is now wooing European markets, pledging to build 20 AI factories across Europe, as the ongoing US-China trade war has led to the tech conglomerate to suffer huge losses. CEO Jensen Huang, speaking at the annual VivaTech conference in Paris on Wednesday, said that the company was building the world's first 'industrial artificial intelligence cloud' for European manufacturers. The Germany-based facility, a key part of the AI factory (specialised data center) initiative, is set to be equipped with 10,000 graphics processing units (GPUs), helping European firms such as carmaker BMW Group accelerate manufacturing applications – from design and engineering to robotics, reports South China Morning Post. Stating that Europe had now 'awakened' to the 'importance of AI factories and AI infrastructure', Huang added that NVIDIA plans to boost AI computing capacity in Europe tenfold over the next two years to help local researchers and start-ups address GPU shortages. NVIDIA has also announced a partnership with the French AI company Mistral AI to create a cloud platform powered by 18,000 of its latest chips, enabling European businesses to develop AI based on Mistral's models. To attract more European clients to counter the US restrictions on tech trade with China and make up for its losses in revenue, NVIDIA has been expanding its existing offerings such as DGX Cloud Lepton, an AI platform that provides a marketplace selling access to GPUs available from a growing network of cloud providers, the company said.
India.com
an hour ago
- India.com
Ahmedabad Plane Crash: How Much Compensation Do Victims' Families Really Get?
Ahmedabad, New Delhi: When Air India Flight AI171 fell from the skies just moments after takeoff from Ahmedabad, the wreckage did not only raise questions about the safety of Boeing's Dreamliner fleet. It fuelled a debate – what do grieving families actually receive when disaster strikes at 30,000 feet? Onboard the ill-fated flight headed to London's Gatwick were 242 souls – 230 passengers, 10 crew members and two pilots. Among them was Gujarat's former Chief Minister Vijay Rupani. For Boeing, this marks the first time the Dreamliner has suffered a crash. But the company is no stranger to tragedy. Its 737 Max series has crashed multiple times, killing over 500 people between 2018 and 2024 – even after major design overhauls. So, in the face of such devastation, what is the price of a life lost mid-air? For international flights like AI171, compensation is governed by the Montreal Convention of 1999. India signed on years ago. Under this treaty, the families of deceased or injured passengers are entitled to up to 128,821 Special Drawing Rights – a complicated financial term that roughly works out to Rs 1.4 crore per passenger. But here is where it gets important. If it is proven that the crash happened due to airline negligence – say, a technical fault ignored, improper maintenance or failure to follow safety procedures, then there is no upper limit. The compensation can skyrocket. This payout is usually split between the airline and its insurance partner. But for families, no amount can fill the void. Who pays the compensation – the airline or the insurance company? The short answer is both. In most cases, the airline is responsible for initiating compensation under international aviation laws. But the actual funds usually come from a combination of the airline and its insurance company. That is why major airlines are required to carry large-scale liability coverage. There is also another layer – travel insurance. Passengers who opted for personal coverage can unlock additional payouts. These can range from Rs 25 lakh to Rs 1 crore for accidental death and up to Rs 10 lakh for permanent disability. While the Montreal Convention specifically covers international routes, India's Directorate General of Civil Aviation (DGCA) recommends that airlines apply similar compensation frameworks for domestic passengers as well. In recent years, many Indian carriers have voluntarily aligned with this approach, offering matching coverage to families of victims. For some families, this insurance becomes the only financial cushion in the middle of emotional collapse. As investigators dig through the charred remains of AI171, aviation analysts are already saying what many do not want to admit – this may have been a man-made disaster. A failure not of machines but of judgment, oversight and accountability. Families are mourning. Legal teams are mobilising. And the question echoing through India's airports and global aviation boards is this: Why was not this prevented? Because when a plane falls from the sky, it is not only metal that hits the ground, it is also the trust.
Time of India
an hour ago
- Time of India
New dispute breaks out between GIPE & parent body SIS over financial control
Pune: Tensions between Gokhale Institute of Politics and Economics (GIPE) and its parent body, Servants of India Society (SIS), flared up once again after both indulged in allegations and counter-allegations related to a bank account. Tired of too many ads? go ad free now At a press conference on Thursday, GIPE's officiating deputy registrar Vishal Gaikwad, accused SIS of wrongdoing, including freezing its account. However, SIS president Damodar Sahoo, who later met reporters, countered the charges. Gaikwad said, "We came to know 3-4 days ago that Sahoo wrote to the bank to freeze the account from which the staff salaries are disbursed. But we met the bank's officials and made it operational." Sahoo, on the other hand, stated that it was a joint account with two signatories, SIS and GIPE. However, GIPE had removed SIS's signatory without any prior notification. He said, "Hence, we wrote to the bank to freeze the account to know what happened as this has been a joint account since inception and there have always been two signatories and one cannot randomly delete one signatory." In April, an FIR was lodged by GIPE against SIS's former secretary Milind Deshmukh, accusing him of misappropriating funds worth Rs 1.42 crore. Gaikwad said that he wrote to the police asking them to add Sahoo's name to the FIR. Sahoo said he has no information about GIPE's letter, nor have the police contacted him. In view of their allegations against SIS of misusing GIPE funds, Gaikwad said that the institute wrote to the charity commissioner requesting suspension of the SIS leadership and appointment of an administrator. Sahoo alleged that GIPE has no right to make such a demand since SIS is its parent body. Tired of too many ads? go ad free now A few months ago, SIS had accused interim VC Shankar Das of allegedly bypassing procedures in faculty and staff recruitment at GIPE which escalated to the SIS removing Sanjeev Sanyal as chancellor and appointing an interim chancellor. Sanyal hit back, alleging lack of transparency in financial transactions of SIS. In a series of posts on X, Sanyal said that JNU vice-chancellor Santishree Pandit will inquire into the allegations against Das after which Sahoo called it all a misunderstanding and Sanyal was reinstated. Pandit's committee, which comprised two more members from SPPU, conducted an inquiry and gave a clean chit to the recruitment process taken up by Das. She said, "We had two online meetings and one in-person meeting at GIPE. We looked at all the documents and found that no rules of UGC or the state govt were flouted during the appointments made during Das's tenure. Sahoo withdrew his complaint against Das. A public notice was issued requesting submission of any evidence related to the complaint before the committee. However, Sahoo did not present or submit any documents before the committee. None of the allegations could stand scrutiny, and the process documents proved beyond doubt that all rules and regulations were followed." Pandit added that there was another complaint from a faculty member at GIPE alleging irregularities in the appointments. "We admitted the complaint and went through its allegations. We also gave the professor a fair hearing. However, since no rules were flouted, we gave a clean chit to Das and submitted the report to the chancellor a month and a half ago," she said. Sahoo said that he had not withdrawn the complaint, and was not called to give evidence. "I have not even been given a copy of the report nor was my side heard," he added. The SIS president said an advisory body was created to bridge the souring relationship between GIPE and SIS and keep communication channels open. However, Gaikwad said there is no provision for such a committee in SIS's byelaws. New VC Soon Both Gaikwad and Sahoo confirmed that the selection process for a new vice-chancellor for Gokhale Institute of Politics and Economics has been completed and the institute will soon have a new head. Sahoo said, "I am very hopeful that under able leadership and guidance, our new VC will shoulder the responsibility of GIPE and render his best services for all-round development of the institute and re-establish a cordial relationship between SIS and GIPE."
