The Bretton Woods agreement was signed after the two world wars, in which the international financial markets were devastated. At the end of World War II, the global leaders came together to create a gold exchange standard for the world, linking it to the US Dollar. The US emerged as the strongest nation, both militarily, as well as economically, and this made the US Dollar the main currency to hold by other governments. The move paved the way for the US to become a global superpower and is one of the most important points for the price of gold and for the US economy.