Last week, the Fed acknowledged growing speculation about revaluing U.S. gold reserves to boost government finances, enable more money creation, and reduce debt.
Global gold demand rose 3% in the first half of 2025, fueled largely by central banks and Asian investors. Americans, on the other hand, sat out—or worse, sold off.
Gold revaluation is unlikely in the near term. However, the fact that it has moved from fringe speculation to official modelling is a development worth noting.
The Fed’s Colin Weiss examines gold revaluations in five countries: Curacao, Germany, Italy, Lebanon, South Africa, signal growing interest in unlocking reserve value.
Higher prices appear to have put a drag on central bank gold buying. However, the pace of expanding gold reserves remains far above the historical average.
