The People's Bank of China (PBOC) has extended its gold-buying spree for the 24th straight month, defying a sharp decline in international gold prices. Official data released today (November 7) shows the PBOC's gold reserves grew to 78.3 million ounces by the end of October, up 830,000 ounces from September.
The central bank began increasing its gold holdings in November 2024 and has continued purchasing every month since. Despite the recent price drop, the PBOC expanded its buying, accumulating approximately 129 tons of gold from January to October this year.
According to the World Gold Council, the PBOC was the top gold buyer among central banks in the third quarter of this year. Global central banks collectively purchased 321 tons of gold in the period, the highest since the fourth quarter of 2024.
Bloomberg noted that central bank purchases are a key factor supporting gold prices amid market sluggishness. International gold prices fell nearly 7% in October, dipping below $4,000 per ounce, and hit a one-year low last month. Prices have since rebounded slightly but remain over 20% down from their peak at the end of February.