Key facts
- Gold has surpassed US Treasuries as the world's leading reserve asset.
- Gold accounted for 27% of global central bank reserves by the end of 2025, up from 20% a year prior.
- US Treasuries fell to 22% of global reserves from 25%.
- The European Central Bank attributes the shift to geopolitical tensions and the weaponization of the dollar.
- Central banks purchased 17 tons of gold in April after a 30-ton selloff in March.
- Poland led gold purchases in April with 14 tons, followed by China with 8 tons.
- Gold prices rose $45, coinciding with a fall in US Treasury yields.
- The Pentagon hired Elias Irizarry, convicted in the January 6th Capitol riot, for a counterterrorism position.
- Newly surfaced video shows Elias Irizarry entering the U.S. Capitol on January 6, 2021.
- The Pentagon is alarmed by alleged Israeli espionage activities targeting U.S. officials.
- A federal judge blocked a $1.8 billion fund for President Donald Trump's political allies.
- The Biden administration imposed new tariffs on Chinese electric vehicles (100%), solar cells (25%), steel (25%), and aluminum (25%).
Gold has overtaken US Treasuries as the world's leading reserve asset, with its share of global central bank reserves reaching 27% by the end of 2025, an increase from 20% in the previous year. US Treasuries have consequently fallen to 22% of global reserves, down from 25%. This significant shift is attributed by the European Central Bank to geopolitical tensions and the "weaponization of the dollar," prompting central banks to diversify away from the US dollar. Central banks purchased 17 tons of gold in April, following a nearly 30-ton selloff in March, with Poland leading purchases at 14 tons and China adding 8 tons, while Russia continued net sales. Gold prices have risen $45, coinciding with a fall in US Treasury yields, as the US Dollar is identified as the main driver for Gold (XAUUSD).
In the United States, the Pentagon has hired Elias Irizarry, who was convicted for his participation in the January 6th Capitol riot, for a sensitive counterterrorism position within the Defense Department's Special Operations and Low Intensity Conflict office. Newly surfaced video shows Irizarry, who was 19 at the time of the riot, entering the U.S. Capitol on January 6, 2021. The Pentagon has also expressed significant alarm over alleged Israeli espionage activities targeting U.S. officials and interests. Separately, a federal judge has temporarily blocked a $1.8 billion fund that critics denounced as a 'slush fund' for President Donald Trump's political allies, preventing the White House from moving forward with the program. The Department of Justice is reportedly exploring alternative payout methods for a fund described as 'weaponization.'
The Biden administration has announced new tariffs on Chinese electric vehicles (100%), solar cells (25%), steel (25%), and aluminum (25%), aiming to counter China's alleged unfair trade practices and protect American industries. US crude oil inventories fell by 6.75 million barrels in the week ending May 29, following a 2.8 million barrel decrease in the prior week, though year-to-date crude inventories have risen by 16 million barrels. The U.S. Strategic Petroleum Reserve is nearing its lowest level since 1983, with current holdings around 370 million barrels. In other developments, a US citizen and journalist, Thomas Weir Pauken II, pleaded guilty to acting as an unregistered foreign agent for China, allegedly collecting over $100,000 for gathering intelligence on American targets and politicians under the direction of Chinese officials linked to the Ministry of State Security. A tech CEO was arrested for allegedly selling U.S. equipment to Iran, potentially supplied to its military and nuclear programs. Approximately 8,000 federal workers are reportedly facing potential job termination due to a broad executive order. Jeff Bezos is funding a new initiative to understand the brain's 'core algorithm,' aiming to map neural connections and functions. US health experts are establishing a disease surveillance initiative, monitoring wastewater and social media for infectious diseases during the 2026 World Cup. Multiple U.S. states are preparing to file an antitrust lawsuit to block a potential merger between Paramount Global and Warner Bros. Discovery. Travelers from the United States are experiencing significant delays at European airports due to the new Entry-Exit System (EES). Hawaii is anticipating a challenging summer season due to a significant decline in tourist arrivals. A prominent MAGA megadonor donated a $5.5 million estate to Robert F. Kennedy Jr.'s nonprofit organization. Former President Donald Trump posted 45 times on his Truth Social platform in a single hour. Sydney Sweeney reportedly excluded Zendaya from a tribute, fueling claims of an ongoing feud between the two actresses. A description of Hollywood as a 'flavourless sausage factory' has emerged.
Historical context for the shift in gold reserves includes decades of US dollar dominance following the Bretton Woods agreement. However, increasing geopolitical instability and concerns over the US's fiscal policies and the use of economic sanctions have led central banks to seek diversification. The rise in gold's appeal is also linked to its traditional role as a safe-haven asset during times of uncertainty. The Pentagon's hiring of an individual with a January 6th conviction raises questions about vetting processes for sensitive positions, particularly given the ongoing scrutiny of the Capitol riot's participants. The blocking of Trump's fund and the DOJ's review of the 'weaponization' fund highlight ongoing legal and political battles surrounding the former president. New tariffs on China reflect a continued trend of trade friction between the two economic powers. The decline in US oil reserves and the Strategic Petroleum Reserve's low levels point to energy security concerns. The guilty plea of a US journalist for acting as a Chinese agent underscores ongoing concerns about foreign influence operations. The potential government equity stakes in AI companies signal a new approach to managing and influencing the development of critical technologies.