Michael Hudson and Kathleen Tyson explain why central banks are moving away from US debt, how China is building a physical gold system, and whether gold will restrain war or become its next prize.

Gold prices have hit record highs, surpassing $3,000 per ounce in 2025, and experts predict further gains. The surge is fueled by global de-dollarization, central bank purchases, and economic uncertainty. As the U.S. struggles to maintain financial dominance, gold is emerging as the go-to safe-haven asset. But is this rally sustainable? Investors are now weighing physical gold ownership versus market speculation.

Gold demand has outstripped supply for years, yet prices remained stagnant until recently. Economist Michael Hudson explains that the gold market is not a typical commodity market—it is politically controlled to sustain confidence in the U.S. dollar. Since 1971, when the U.S. abandoned the gold standard, central banks have been forced to hold reserves in U.S. Treasury securities instead of gold. This system allows the U.S. to fund its deficits through global dollar dependence. However, de-dollarization efforts by BRICS nations and a shifting financial landscape suggest the long-standing dominance of the U.S. dollar may be facing unprecedented challenges.