I hear reports weekly about China and other BRICS countries buying large amounts of gold. China is a gold producer and a dictatorship so it must be able to get plenty of gold without too much foreign purchasing, I often wonder about the stories of central banks all over the world buying up huge tranches of gold, if its true then maybe that could account for gold's steady climb for the last few years?
The World Gold Council regularly publishes data on that. Buying is usually limited to a select few Central Banks but it did impact the price from 2022 through to 2023, maybe even early 2024 (I can't remember offhand). For most of 2024 CB buying had declined and I'd say it was the retail and institutional market that drove prices higher, which makes sense as retail is normally later to the party.
CB buying (India, China, etc.) has been strong in 2024: https://x.com/KrishanGopaul/status/1854920783644017182 https://www.moneymetals.com/news/20...just-secretly-bought-60-tonnes-of-gold-003648 Retail isn't really driving this bus: https://www.gold.org/goldhub/research/etf-flows and FWIW: https://gata.org/node/23529
The central banks know what's coming and they cant keep the turd afloat forever. In the face of complete failure, even the biggest losers know when to call it quits.
Its probably just a coincidence. They aren't buying enough to raise any alarms anyway. Just tiny amounts here and there. They've been net buyers the last 14 years and own 17 percent of the gold on Earth. It almost does seem false haha.
I'm not sure they've been net buyers for 14 years, but gold purchases form part of a central bank's desire to minimise exposure to risk. In other words they buy gold as a reserve asset to protect their domestic currency and support their financial institutions. None of the large advanced Western nations buy gold because they don't have to. Edit to add: hence why I called it a false narrative. And yes, I know, it's a cleanest shirts in the laundry type thing.
Stupid fool politicians piss me off poking and prodding at China...how bout they shut they're mouths sideshow clowns revolving back n forth with open mouths, We need China its our biggest trading partner and talks of War with what? Our piddling size army with our biggest Allies on other side of the world...Plus the biggest factor of all...Gold pandas are awesome
China reportedly acquired 11 tons of gold in December. Safe to say it's probably closer to 30-50 tons if we know those sneaky wascals.
