China extends gold purchase streak to 22 months

The People's Bank of China (PBOC) has extended its continuous gold purchasing streak to 22 months. In August, the central bank added 650,000 troy ounces of gold to its reserves, marking its highest monthly purchase since the beginning of 2022.

Following these acquisitions, China's official gold reserves rose to 76.73 million ounces, equivalent to approximately 2,386.6 tons. While the monetary value of the reserves increased significantly to $350.08 billion, much of that growth was driven by rising gold prices rather than new purchases alone.

Analysts suggest this sustained accumulation is a strategic, long-term move to diversify reserves and hedge against global economic uncertainties and fluctuations in the US dollar. This policy continues despite significant price volatility in the gold market.