China’s central bank continued its gold accumulation for the 15th consecutive month in January, according to data released Saturday by the People’s Bank of China (PBOC).
The country’s gold holdings rose to 74.19 million fine troy ounces at the end of January, up from 74.15 million in December. The value of these reserves increased to $369.58 billion from $319.45 billion over the same period.
Gold, long regarded as a safe-haven asset against political and economic risks, experienced a sharp speculative surge in January, briefly approaching a record near $5,600 per ounce. The rally reversed after Kevin Warsh’s nomination as the next U.S. Federal Reserve chair at the end of January, pushing prices down to $4,403.24 per ounce on Monday. Gold is currently trading around $4,960 per ounce.
Meanwhile, China’s overall gold consumption fell for the second consecutive year in 2025, declining 3.75% to 950 metric tons, according to the state-backed China Gold Association. However, purchases of gold bars and coins — representing safe-haven demand — rose 35.14%, accounting for over half of total consumption.
The PBOC had paused an 18-month gold buying streak in May 2024 but resumed purchases six months later.