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Central banks across the globe have responded to the Covid-19 crisis by generating an unprecedented amount of cash. 
Notably, the cumulative balance sheet of G4 central banks – the US Federal Reserve, Bank of England, Bank of Japan, and the European Central Banks – has expanded to $20 trillion, as noted by Jeroen Blokland, portfolio manager with Robeco.
The G4 balance sheet size has increased by $5 trillion this year. The dilutive impact of the surge in money supply has boded well for scarce assets like gold. The yellow metal recently rose to record highs near $2,090 and is currently up 33% on a year-to-date basis.