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Some central banks that have been buying gold for years are now actively selling it, despite rising geopolitical tensions worldwide, according to CNBC.
Experts highlight several key reasons behind this shift:
Firstly, a sharp increase in defense spending in some countries requires funds to finance and cover past expenses.
Secondly, the conflict in the Middle East has caused a significant rise in energy costs, creating additional financial pressure.
Lastly, due to the Middle East conflict, some countries have started selling gold reserves to support their national currencies in the Forex market.