BRICS Gold Prints New Monthly Low in September 2023 Amid US Dollar Rise
Why did BRICS gold prices hit a new monthly low in September 2023? The strengthening U.S. dollar is a key factor. The U.S. dollar reached a 10-month high, putting downward pressure on gold and other commodities. This comes as BRICS nations continue discussions about a potential gold-backed currency, a move intended to challenge the U.S. dollar's global dominance. However, the ambitious vision faces significant headwinds.
BRICS Face Uphill Battle: Gold Prices and the US Dollar
BRICS Face Uphill Battle as Gold Prices Hit Monthly Lows Amid Strengthening U.S. Dollar. The ambitious vision of BRICS nations to challenge the supremacy of the dollar-based system faces significant challenges. As central banks from BRICS nations accelerate gold accumulation, aiming to insulate themselves from dollar devaluation and financial instabilities, the recent drop in gold prices presents a complex scenario. The idea of a new BRICS currency, potentially backed by gold, aims to combat dollar weaponization and foster a more stable global financial system.
The US Dollar's Strength: A Hurdle for BRICS Gold?
The relationship between the U.S. dollar and gold is often inverse. A stronger dollar typically translates to lower gold prices. Therefore, the U.S. dollar reaching a 10-month high puts considerable pressure on the BRICS nations' gold reserves and their plans for a gold-backed currency. 27 de sept. de 2025 The BRICS idea of backing their yet-to-be-decided currency with gold to challenge the U.S. dollar could be a herculean task. The U.S. dollar reached a 10-month high in September 2025 as 27 de sept. de 2025 The BRICS idea of backing their yet-to-be-decided currency with GOLD to challenge the U S dollar could be a herculean task The U S dollar reached a 10-month high in, illustrating the ongoing challenge.
What's Next for BRICS and Gold?
While the current situation presents challenges, BRICS nations are likely to continue their efforts to diversify away from the U.S. dollar. Monitoring gold prices and U.S. dollar movements will be crucial in the coming months. The long-term impact of BRICS' de-dollarization efforts remains to be seen, but the ambition to create an alternative financial system persists.