Will Asia play the gold card?

One of the great questions hanging over the gold market is whether the metal will continue to play a role in the portfolios of central banks and multilateral financial institutions such as the International Monetary Fund. During the 1990s several countries sharply reduced the role of gold in their foreign exchange reserves. The Bank of England held auctions to sell the metal. Australia shocked the market by secretly liquidating its gold portfolio. The European central banks signed an agreement

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