China boosts gold reserves for 21st month, reaching 2,366 tonnes

China’s central bank, the People’s Bank of China (PBoC), has continued its gold acquisition streak, increasing its reserves for 21 consecutive months to approximately 2,366 tonnes. The latest addition of 20 tonnes in July 2026 underscores the PBoC’s sustained interest in gold, aligning with recent reports of an acceleration in reserve accumulation since October 2023. This movement places China’s gold holdings at about 8% of its total foreign exchange reserves, as reported by the World Gold Council. The continued buying spree suggests a strategic shift in China’s reserve management, potentially impacting global gold markets.

Key Takeaways

• China’s ongoing gold purchases appear consistent with increased demand, which could influence global prices.
• The PBoC’s actions suggest a strategic focus on diversifying reserves, with gold playing a significant role.
• Market pricing suggests participants may view the increased gold buying as supportive of higher gold prices by year’s end.

What to Watch

Observers will be closely monitoring whether the PBoC continues this aggressive gold acquisition strategy in the coming months. Developments such as geopolitical tensions or shifts in global economic policy could further impact gold prices. Additionally, any significant changes in U.S. Federal Reserve policies or Western ETF flows could alter market expectations regarding gold’s price trajectory. Markets appear to be watching for indicators from these key actors that could either bolster or diminish the likelihood of gold reaching high price targets by December 2026.

Get live prediction-market analysis, powered by Vera. Sign up for Vera.

Disclosure: This article was edited by Estefano Gomez. For more information on how we create and review content, see our Editorial Policy.