Gold rose nearly 3% during the President’s State of the Union Address last night. It’s up 15% since the late January correction. Year-to-date, it’s up 20%.
In overnight trading in Asia, gold hit $5,228.
While U.S. government deficit spending remains fundamental to the price, the biggest driver is… Relentless buying by central banks.
China just updated its holdings, showing over $350 billion in the metal:
Since 2023, China’s central bank has added to its gold reserves aggressively.
The U.S. Treasury, not so much. (Source: The People’s Bank of China)
China’s gold reserves have more than tripled since 2022, while the U.S. Treasury holdings have declined. The metal is rising as central banks’ sovereign bond exposure falls globally.
Capital continues to be repositioned between a Western debt-based system and an Eastern resource-based accumulation.
The shift keeps us long gold — the metal, the miners, and select rare coins — and active in resource trades inside the Grey Swan Trading Fraternity. The trade we issued ahead of the State of the Union Address… is up 15% over the past week.
(For good measure, we closed a natural gas position up 61%, too.
~ Addison
P.S. Grey Swan Live! this week will be coming to you live from inside the Rarcoa Vault in Willowbrook, Chicago. Our interest: Rare coins offer a unique way to protect your wealth with precious metals – and they carry the added value of rarity, mint, condition and historical significance.
Please join us while we visit with family founder, Wayde Milas, inside the Rarcoa vault to check out the 2025 Eagle Privy Silver Eagle graded NGC MS70 from the first group of 50,000 pristine minted coins. Brand new sets will be available to attendees of the Zoom at a steeply discounted event price.
The live Zoom event will air on Friday, February 27, 2026, at 2 p.m. EST/11 a.m. PST.
P.S. Curious about our partner and colleague Ian King? Learn about Ian King Next Gen Coin and what subscribers are saying is all the rage in crypto right now.
