Chinese Central Bank Gold Reserves Surged in December

SEATTLE (Scrap Monster): The latest report by the World Gold Council (WGC) on Chinese gold market indicates that the gold reserves by Chinese central bank recorded second straight month of increase in December 2022. However, the wholesale gold demand in the country continued to remain weak.

According to the report, the People’s Bank of China (PBoC) added another 30t of gold to its reserves during the last month of the previous year. The total gold reserves surged higher by 62t during the whole year to hit 2011t. This is the second consecutive month of increase in gold holdings.

ALSO READ:

Two Largest North American Funds Led Gold ETF Outflows in 2022

WGC: Central Banks Added Gold to Thier Global Official Reserves

The gold withdrawals from the Shanghai Gold Exchange (SGE) amounted to 142t in December, which is down by 26% over the same month a year ago. Also, the withdrawals hit the weakest in December over the past decade. The gold withdrawals from the SGE totalled 1,517t during the entire year, down by 174t when compared with 2021. Meantime, Shanghai-London gold price premium declined further in December, WGC report said.

Looking ahead, the world trade body expects a rebound in Chinese gold demand in 2023. The approaching Chinese New Year’s (CNY) holiday in late-January may lift up retail gold sales in the country, it noted.