China's central bank bought 25.8 tonnes of gold in October, its biggest monthly purchase in two years, extending its gold-buying streak to a 24th consecutive month — and it did so while bullion prices were falling sharply.
Data released by China's State Administration of Foreign Exchange on Saturday showed the People's Bank of China held 78.30 million ounces of gold at the end of October, up 830,000 ounces from 77.47 million ounces a month earlier. The streak of monthly additions began in November 2024 and has now run uninterrupted for two years.
The timing is striking: gold fell nearly 7% in October, ending the month below $4,000 an ounce after a record run earlier in the year. Rather than pausing as prices slid, Beijing bought more — and faster than at any point since the streak began.
The numbers behind the streak
October's addition was the largest monthly increase since the People's Bank of China resumed gold accumulation in November 2024, according to Bloomberg's reporting of the official data — capping a year in which the pace of buying accelerated steadily.
| Measure | Figure |
|---|---|
| Gold added in October 2026 | 830,000 ounces (about 25.8 tonnes) |
| Total holdings, end of October | 78.30 million ounces (about 2,435 tonnes) |
| Holdings, end of September | 77.47 million ounces |
| Consecutive months of buying | 24 (since November 2024) |
| Gold added, January–October 2026 | About 129 tonnes |
| Gold added, all of 2025 | About 27 tonnes |
| Value of gold reserves, end of October | $306.4 billion (down from $323.5 billion) |
The monthly series tells its own story: the bank added just 40,000 ounces in January and 830,000 ounces by October — more than twenty times as much. In the first ten months of 2026 it has bought about 129 tonnes, against 27 tonnes across the whole of 2025.
The value of those reserves fell even as the tonnage rose — $306.4 billion at the end of October, down from $323.5 billion a month earlier. That is a price effect, not selling: the gold is worth less per ounce, but there is more of it.
Buying into the dip
Gold's October slide was its sharpest monthly fall of the year, pulling the metal below $4,000 an ounce after a record above $5,000 earlier in the year. For a central bank accumulating steadily, a falling price is an opportunity rather than a warning: the same budget buys more metal.
Beijing does not explain individual purchases, and the official release gives no reason for the October acceleration. But buying more as prices weaken fits a long-term accumulation strategy, not a trade on short-term moves: the bank has added gold every month for two years, through rallies and sell-offs alike.
Context: central banks buy gold to diversify their foreign-exchange reserves — holding an asset no government can freeze or devalue by printing more of it. The World Gold Council says long-term strategic considerations, such as reserve diversification and risk management, remain the main driver of central-bank demand, even with prices at historically high levels.
A wider central-bank rush
China is not buying alone. The World Gold Council's Gold Demand Trends report for the third quarter, published on 3 November, estimated that central banks and other official institutions bought a net 321 tonnes of gold in the quarter — up 42% on a year earlier and the highest quarterly total since the end of 2024.
China was the largest disclosed buyer in the quarter, reporting 63 tonnes, followed by Poland with 40 tonnes. Together the two accounted for about 86% of all reported official purchases. But the reported figures are only part of the picture: banks disclosed just 120 tonnes of the estimated 321, leaving roughly 63% of the quarter's official demand unattributed — a pattern of unreported buying that has persisted since 2022.
Across the first nine months of 2026, central banks bought an estimated 675 tonnes, up 6% on the same period of 2025, and the Council expects full-year demand to at least match 2025's level of about 848 tonnes.
"Long-term strategic considerations, such as reserve diversification and risk management, remain the main driver of central bank demand despite prices staying at historically high levels."
— World Gold Council, Gold Demand Trends Q3 2026
Total gold demand, including over-the-counter trading, reached 1,369 tonnes in the third quarter, down 1% on a year earlier. The central-bank buying came as other parts of the market cooled: jewellery demand fell to its weakest third quarter since 2000, bar and coin buying dropped to a four-year low, and gold-backed exchange-traded funds added 211 tonnes to reach a record 4,256 tonnes.
What it means for the gold market
Official-sector buying has become the steadiest source of demand in the gold market. Unlike investors, central banks have kept buying through the year's swings — and China's October acceleration suggests that support is strengthening, not fading.
That does not guarantee higher prices: gold still responds to interest rates, the dollar and investor flows, and the October slide happened while central banks were buying heavily. But a buyer adding 25.8 tonnes in a month when prices fall 7% is a floor of sorts — a signal that one of the world's largest official holders sees current levels as worth owning.
What is not known: the official data shows the change in reported reserves, not the dates, counterparties or prices of the October purchases — and the World Gold Council's estimate implies substantial buying by central banks that never disclose it. Any claim about which unreported buyers were active would be speculation, not fact.
Frequently asked questions
How much gold does China hold now?
About 78.30 million ounces — roughly 2,435 tonnes — at the end of October 2026, according to official data from the State Administration of Foreign Exchange. The value of those holdings was $306.4 billion.
Why is China buying gold while prices fall?
Beijing does not give reasons for individual purchases. The World Gold Council attributes central-bank buying generally to reserve diversification and risk management — and buying more as prices fall fits a long-term accumulation strategy: the same money buys more gold.
How does China's buying compare with other central banks?
China was the largest disclosed buyer in the third quarter, reporting 63 tonnes, ahead of Poland with 40 tonnes. But most official buying is never disclosed — only 120 of the estimated 321 tonnes in the quarter was reported by the banks themselves.
Does central-bank buying mean gold prices will rise?
Not necessarily. Official demand is steady support, but prices also respond to interest rates, the dollar and investor sentiment — and they fell nearly 7% in October even as central banks bought heavily.
Key takeaways
- China's central bank added 830,000 ounces (about 25.8 tonnes) of gold in October — its largest monthly purchase since it resumed buying in November 2024.
- The streak has now run for 24 consecutive months, with about 129 tonnes added in the first ten months of 2026, against 27 tonnes in all of 2025.
- Gold fell nearly 7% in October, ending the month below $4,000 an ounce — Beijing bought more, not less, as prices slid.
- Globally, central banks bought an estimated 321 tonnes in the third quarter, up 42% year on year, with China the largest disclosed buyer at 63 tonnes.
What to watch next: the People's Bank of China's November figures, due in early December, will show whether the accelerated pace held after October's dip — and the World Gold Council's full-year data will reveal whether official-sector demand matched 2025's level, as it currently expects.
