Gold Overtakes US Treasuries in $12T Reserve Shift

- Gold now 27% of central bank reserves, topping US Treasuries - Shift driven by sanction fears, with China, India, Turkey, and Poland leading On June 2, 2026, Mining.com reported that the European Central Bank (ECB) found that, for the first time, gold has surpassed US Treasuries as the top reserve asset held by central banks worldwide. According to Mining.com, the ECB’s latest report shows that gold now accounts for 27% of global central bank reserves, up from 20% last year, while US Treasuries have dropped to 22% from 25%. This shift marks a significant realignment in the nearly $12 trillion in total reserves, and it reflects a global move toward assets perceived as safer amid heightened geopolitical tensions and sanction risks. As a result, central banks appear increasingly focused on diversification and risk mitigation in their reserve management strategies. According to Mining.com on June 2, 2026, the ECB report singles out China, India, Turkey, and Poland as leading the shift, as these nations are actively increasing gold purchases while reducing exposure to dollar-denominated assets. The report attributes this trend largely to a desire among central banks to insulate national reserves from potential sanctions and currency volatility prompted by international conflicts. Meanwhile, the report shows that the euro’s share of global reserves remained steady, which indicates that most new allocations are flowing into gold rather than other major currencies. Consequently, the ECB’s data underscores a rapid reorientation in reserve management strategies, with central banks now relying more heavily on gold to ensure financial stability amid global uncertainties.