Catenaa, February 07, 2026 – Beijing, China’s central bank extended its gold‑buying streak for the 15th consecutive month, highlighting sustained official demand even as the global bull run in bullion shows signs of slowing.
New data shows the People’s Bank of China (PBOC) boosted its gold reserves in January. Holdings rose modestly from 74.15 million to 74.19 million fine troy ounces. The value jumped to about $369.6 billion from roughly $319.5 billion a month earlier.
Gold’s rally hit a major peak in January. Prices briefly approached $5,600 per ounce before a sharp correction. The metal traded around $4,960 per ounce this week amid shifting sentiment.
China’s accumulation comes as broader gold consumption in the country has weakened. Total demand fell for a second year in a row in 2025, driven by lower jewellery sales. However, purchases of gold bars and coins jumped sharply.
The PBOC’s approach underscores a strategic aim to diversify official reserves and hedge against currency and geopolitical risks. Central banks globally have been major contributors to gold demand over recent years.
Even with high prices, analysts say continued official buying offers support for gold markets. National banks in other economies are also adding bullion to cushion against foreign exchange volatility.
Still, the pace of gold buying outside China has eased versus the peak seen in the last three years, reflecting caution among reserve managers as prices climbed.
Gold’s price performance this year reflects a tug‑of‑war between safe‑haven flows and profit‑taking pressures. Investors now watch central bank reports closely for clues on future demand.
Despite the recent price pullback, many traders remain bullish on gold’s long‑term outlook, citing geopolitical tensions and potential U.S. monetary easing.
China’s steady bullion purchases show how official demand continues to shape the precious metals landscape, even as broader market dynamics fluctuate.
