Europe's Gold Exodus: Central Banks Flee US Vaults Amid Rising Debt and Dollar Uncertainty

Central banks across Europe are quietly relocating their gold reserves from U.S. vaults to safer locations in London and other European cities, a trend that accelerated after Donald Trump's return to the White House.

The Netherlands was the first to move, transferring 86 tonnes of gold worth $12 billion from New York to London between March and August. France followed suit, selling off its remaining 129 tonnes of older bullion in Manhattan and using the proceeds to buy modern bars stored entirely in Paris.

Germany holds the world's second-largest gold reserve at 3,352 tonnes, but 37% still sits inside the Federal Reserve. Analysts point to rising U.S. debt and lingering questions about the dollar's long-term credibility as drivers of this trend.

According to a World Gold Council survey, the share of central banks keeping any gold at the New York Fed has slipped to 14% from 17% over the past year.