In April, China increased its gold reserves for the sixth consecutive month, highlighting its efforts to boost gold holdings amid near-record gold prices and escalating trade tensions.
According to a report by Bloomberg, data released on the 7th shows that the People's Bank of China increased its gold reserves by approximately 70,000 ounces last month. Over the past six months, the total increase amounts to nearly 1 million ounces, equivalent to about 30 tons.
This year, gold prices have repeatedly hit new highs, largely due to central banks around the world simultaneously increasing their gold holdings to diversify their portfolios beyond the U.S. dollar. Driven by financial market turmoil sparked by the trade war, concerns over U.S. assets, and rising safe-haven demand, gold prices have risen nearly 30% this year.
Chinese investors are also flocking to purchase gold, with gold trading volume on the Shanghai Futures Exchange hitting record highs in recent weeks. Strong domestic demand has prompted the People's Bank of China to issue new gold import quotas to commercial banks.