China Stacks 20 Tons of Gold as Beijing Extends Buying Streak

The People Bank of China increased its gold reserves by 650,000 ounces in August. This addition marks the largest monthly gain since October 2023 and extends a continuous buying streak that has lasted for 22 months. Official data shows that total reserves have now reached 76.73 million fine troy ounces.

This aggressive buying occurred even as gold prices rose by 10 percent during the same month. Much of this demand is linked to the debasement trade, where investors move toward physical stores of value due to concerns over government debt and the weakening power of the dollar. These economic factors have historically influenced Bitcoin price trends as well.

While gold performed well for much of the month, the momentum slowed as the Federal Reserve signaled potential rate increases. Recent strong jobs data in the United States also placed pressure on the price of the metal. Traders should watch how central bank policies evolve throughout the remainder of the year as these shifts often dictate the appetite for hard assets across global markets.