The Peoples Bank of China has increased its holdings for nine consecutive months

The People's Bank of China has increased gold for nine consecutive months.

Comprehensive Bloomberg and Securities Times reported that statistics released by the People's Bank of China on Monday (August 7) show that the gold reserves of China at the endIt is equivalent to about 23 tons, which increases its holdings for the ninth consecutive month.The current total gold reserve in China is 2137 tons. Since the continuous increase in gold reserves in November last year, a total of about 188 tons have been increased.

With the diversification of foreign exchange reserves in China, the People's Bank of China has led the central bank to buy gold in recent months.As the global interest rate is rising, this move helps to maintain the price of gold, and usually weakening interest rates will weaken the demand for gold without interest.

According to the data of the World Gold Association, official purchase is the key to the gold price outlook this year.The industry's institution predicts that although the increase in holdings is slower than last year, central banks from various countries will continue to increase their holdings.After the invasion of Ukraine in Russia in February last year, the United States imposed sanctions on Russia's foreign exchange reserves, and the demand for the US dollar alternatives surged.

Louis Street, a senior market analyst at the World Gold Association, said that in the past year, the central bank has made a record high in gold and dominated the global gold market.Although this demand has slowed slightly in the second quarter of this year, this trend still highlights the important position of gold as a hedid asset, especially when facing continuous geopolitical tensions and challenging economic environment.

Looking forward to the second half of 2023, she said that the impact of economic atrophy may bring some upward assistance to gold, further strengthening its status as a safe -haven asset.In this case, investors and central bank demands will help offset the weak trend of gold orientation consumption and scientific and technological gold demand caused by consumption tightening.