China's Gold Buying Streak Hits 22 Months

China has made its largest monthly gold purchase in nearly three years, adding 650,000 ounces to its reserves in August. This move extends a buying streak that has now lasted 22 consecutive months.

The People's Bank of China (PBOC) recorded the largest increase since October 2023, as Beijing continues to diversify its foreign exchange reserves. The latest addition brings China's official gold reserves to 76.73 million ounces, accounting for approximately 10% of its total reserves.

China's purchases come amid a broader move by central banks to increase their exposure to gold. According to the World Gold Council, central banks purchased around 130 tonnes of gold through July, compared with about 160 tonnes over the same period last year.