China's Central Bank Increases Gold Holdings for 20 Consecutive Months, June Purchases Hit 16-Month High
Claire Weston
The PBOC added 480,000 troy ounces of gold in June — the largest single-month purchase in 16 months — extending its buying streak to 20 months as it doubled down while spot gold fell nearly 27% from its 2026 peak.
How big was June's purchase?
China's official gold reserves reached 75.44 million troy ounces as of June 2026, up 480,000 ounces from the prior month — roughly double recent monthly additions.
This means → the PBOC wasn't topping up routinely; it actively scaled up at a price dip.
Spot gold fell as low as $3,942 in June, down nearly 27% from the 2026 peak of $5,405. The central bank chose that trough to double its buying pace.
Is there a pattern to the PBOC's buying rhythm?
The 20-month streak was not steady. From November 2024 to February 2025, the PBOC built positions aggressively at roughly 160,000 ounces per month.
As gold surged from $2,600 to above $5,300 through early 2026, the pace slowed — some months saw only 30,000 ounces added.
Once gold weakened in March 2026, monthly additions climbed: 160,000 → 260,000 → 320,000 → 480,000 ounces from March through June.
In plain terms = buy more when gold drops, buy less when it spikes. Research estimates the correlation between PBOC purchases and gold prices at −0.751.
What has the accumulated position earned on paper?
Since November 2024 the PBOC has added roughly 2.48 million ounces. The value of China's gold holdings rose from $193.4 billion to $303.7 billion — a gain exceeding $110 billion.
This means → most of the gain came from rising international gold prices, not from the volume purchased alone.
Over the same period, China's total foreign-exchange reserves grew from $3.27 trillion to $3.42 trillion — an increase of about $150 billion. Gold appreciation accounted for the bulk of that gain.
Where does China's gold share stand globally?
Gold made up roughly 9% of China's official reserves as of end-June — far below the global average of 27%.
The US, Germany, and France each hold gold above 50% of reserves; India has reached 17%.
In plain terms = China's gold share is about one-third of the global average. If the PBOC continues closing that gap, the runway for further buying remains substantial.
Are other central banks buying too?
Global central banks purchased a net 244 tonnes of gold in Q1 2026, up 17% quarter-on-quarter. May alone saw net buying of 41 tonnes, a recent high.
A World Gold Council survey found that 45% of responding central banks plan to increase gold holdings over the next year.
This reflects a broader trend: gold accumulation is not a China-only story. The gap between China's share and the global average remains the key benchmark the market watches when gauging the PBOC's future buying pace.
Content is for reference only, not financial advice.