China's central bank buys gold for 15th consecutive month
China’s central bank kept adding to its gold stash in January, marking the 15th straight month of purchases, according to figures released on Saturday (February 7) by the People’s Bank of China (PBOC).
The PBOC’s gold holdings edged up to 74.19 million fine troy ounces at the end of January, from 74.15 million a month earlier. In value terms, China’s gold reserves rose to $369.58 billion, compared with $319.45 billion at the end of the previous month.
Gold, widely viewed as a safe-haven against political and economic uncertainty, surged in January amid a wave of speculative buying, hitting a record close to $5,600 per ounce.
The rally then reversed sharply after Kevin Warsh was nominated as the next chair of the US Federal Reserve late in the month, with spot prices tumbling to as low as $4,403.24 per ounce on Monday.
Gold is now trading at about $4,960 an ounce.
On the demand side, China’s gold consumption fell for a second year in 2025, sliding 3.75% to 950 metric tonnes, according to the state-backed China Gold Association.
However, buying of gold bars and coins, often seen as a proxy for safe-haven demand, climbed for a second consecutive year, jumping 35.14% in 2025 and making up more than half of total consumption.
The PBOC had paused its previous run of gold purchases in May 2024 after an 18-month streak, before returning to the market six months later.
Reuters
