The People's Bank of China increased its gold holdings for the 20 th consecutive month

The People's Bank of China increased its gold holdings for the 20 th consecutive month.

In June, the People's Bank of China once again "purchased gold" on a large scale. The official reserve asset data recently updated by the People's Bank of China shows that as of the end of June, my country's gold reserves were 75.44 million ounces, an increase of 480,000 ounces month-on-month. The scale of the increase has further expanded compared with May.

This is also the 20th consecutive month that the People's Bank of China has increased its gold holdings. Industry analysts believe that the Federal Reserve's interest rate meeting in June released a hawkish signal that exceeded market expectations. The international gold price fell for the fourth consecutive month that month.

The correction in gold prices may be the direct reason for the People's Bank of China to continue to increase its gold holdings in June. Looking around the world, central banks in many countries have continued to increase their gold purchases in recent years.

The latest report from the European Central Bank shows that as of the end of 2025, gold's proportion in the world's total official reserve assets has risen to 27%, surpassing U.S. Treasury bonds and becoming the world's largest official reserve asset.

According to the "2026 Global Central Bank Gold Reserve Survey" recently released by the World Gold Council, gold demand from global central banks remains strong. Among them, 45% of the reserve managers surveyed expected that their institutions would increase their gold reserves in the next 12 months, a proportion that broke the historical record.

In addition, 84% of central banks surveyed believe that gold’s share of global reserves will increase in the next five years, up from 76% last year. "Previously, central banks of various countries accounted for a relatively high proportion of U.S. dollar reserves.

The high concentration of single-currency reserves inherently poses certain risks and affects national financial security.

Therefore, central banks of various countries will look for safer assets." Fan Rui, head of nonferrous analysis at Guoyuan Futures, told a reporter from Securities Daily that gold has outstanding value-preserving properties, has anti-inflation capabilities, has no sovereign credit risk, and is not prone to problems such as freezing and redemption risks.

It is a good choice to replace U.S. dollar reserves. Judging from recent international gold prices, Wind data shows that on June 30, the spot price of London gold hit an intraday low of $3,942.43 per ounce, a new low since November 6, 2025. Since July, London gold spot prices have rebounded slightly amid shocks.

As of 16:30 on July 8, the spot price of London gold was reported at 4088.336 US dollars per ounce.

In an interview with a reporter from Securities Daily, Liu Siyuan, chief analyst of Linkshow Finance, said that the core factor for the recent decline in gold prices is that the core inflation rate in the United States remains high, and the market is forced to digest the "higher and longer" interest rate outlook given by the Federal Reserve.

Coupled with the temporary stabilization of recent geopolitical conflicts, the market's hedging demand has weakened. The above factors have jointly suppressed the performance of gold prices.

Although the international gold price rebounded slightly after falling below the integer mark of US$4,000 per ounce, there may still be room for inertial downward movement in the short term. (

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