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The information provided on EL7.AI is for educational and informational purposes only and does not constitute financial advice.
In a move reflecting a strategic desire to hedge against geopolitical volatility, the People's Bank of China has continued to bolster its holdings of the precious metal. According to reports, the central bank increased its gold reserves by 9.95 tonnes in May, bringing the total holdings to 2,331.52 tonnes. This marks the 19th consecutive month of accumulation as Beijing seeks to diversify its foreign exchange reserves and reduce its reliance on the US Dollar.
These purchases come at a time when global central banks are showing an increasing inclination toward gold, with World Gold Council (WGC) data indicating that official net buying remains robust despite prices reaching record highs. Compared to last year, the pace of buying among certain emerging market central banks has doubled, providing structural support for global gold prices which hit historic levels above $2,400 per ounce earlier this year (per market data).
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Sign InFrom a trading perspective, investors are watching key support levels for the yellow metal, with gold trading at $2,315.40 (close June 10, 2026). Looking at the economic calendar, markets are awaiting upcoming US inflation data and interest rate decisions from major central banks, which are catalysts that could dictate gold's near-term direction, especially given the persistent institutional demand from China.