accumulation trends took, an Saudi Arabia reduced its flow requirements. The Sau-utercent of new official states. Kuwait, the United the largest not investors in gn assets fell slightly at capital outflows.
investors increased nonreserve assets, such as corporate securities and direct loans,S billion At the same time, they reduced reserve assets, such as government securities and bank deposits, byillion. Dollar assets were shed in favor of those denominated in yen and deutschemarks. OPEC countries reduced their non-gold holdings in the US and also drew down total assets in the UK and some other West European countries. alue of OPEC's member states' worldwide official gold eserves increased5 billionesult ofand soaring prices.
et official foreign investment is likely to jumpillion as the result of the steep rise in; oil prices. Because of the dominance of the dollar market and the large sums to be invested, further disinvestment of dollar assets seems unlikely. OPEC countries will even find it difficult to reduce the share of new investment placed in dollar-denominated holdings.
Original document.
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