China acquired 48 tonnes of gold through the London over-the-counter market in May 2026, marking its largest monthly purchase in more than a year, according to Goldman Sachs estimates. This volume significantly exceeds the 10 tonnes officially reported by the People's Bank of China for the same month.
The substantial difference suggests that China may be accelerating its gold reserve accumulation beyond public disclosures. This move aligns with a pattern of increasing gold reserves that has continued for 19 consecutive months, indicating a strategic shift possibly aimed at diversifying away from dollar-denominated assets amid global economic uncertainties.
Market analysts view this surge in demand as potentially supportive of higher gold prices, with participants closely watching for further announcements from China's central bank regarding future purchases. also developments in Federal Reserve interest rate policies and geopolitical tensions are expected to influence gold price trajectories in the coming months.
