According to The Kobeissi Letter, world central banks are actively diversifying their reserves, with foreign holdings of US Treasuries now at approximately 23% of total US government debt, marking the lowest level in 22 years (source: The Kobeissi Letter, April 27, 2025). This reflects a decline of about 11 percentage points over the past nine years. Simultaneously, central banks have increased their allocation to gold as a percentage of global reserves. These shifts suggest a strategic move away from US dollar assets, potentially impacting Treasury yields, gold prices, and related forex markets. Traders should monitor reserve composition trends for potential volatility in US government bonds and increased bullish momentum in gold markets.