China’s Central Bank Adds About 26 Tonnes of Gold in October, Its Biggest Monthly Purchase in Over Three Years

China’s central bank bought gold for a 24th consecutive month in October and stepped up the size of its purchases while prices fell, according to official reserve data released on Saturday, Nov. 7, 2026.

Largest addition since 2023

The People’s Bank of China’s gold holdings rose by 830,000 fine troy ounces to 78.3 million ounces at the end of October, from 77.47 million a month earlier, Reuters reported via The Hindu BusinessLine. Bloomberg, in a report published by Moneycontrol, put the increase at about 25.8 metric tons.

The October addition was the largest monthly increase since September 2023, when reserves rose by 840,000 ounces, according to market tracker Wind Info, China Daily reported. It also marked the eighth straight month in which the central bank accelerated its pace of buying, following additions of 740,000 ounces in September and 650,000 ounces in August.

Business publication Caixin said the current buying run has now added a cumulative 5.5 million ounces, or about 171 tons, over 24 months, equivalent to more than 13,000 standard gold delivery bars. Bloomberg estimated that additions in the first 10 months of 2026 total about 129 tons.

Buying into a falling market

The purchases came during a difficult month for bullion. Gold fell almost 7% in October and ended the month below $4,000 an ounce, Bloomberg reported. It touched a one-year low during the month and recorded its biggest October decline since the 2008 global financial crisis. The metal has rebounded since the U.S. midterm elections but remains down by more than a fifth since the Iran war began in late February, as higher energy prices fueled inflation and tighter monetary policy, which is typically a headwind for non-yielding assets.

Front-month Comex gold for November delivery settled at $4,064.50 an ounce on Friday, Nov. 6, down $38 on the day but up $178.80, or 4.6%, for the week, according to Dow Jones Market Data. That was the largest weekly gain since the week ending Aug. 21. Prices remain 23.58% below the record settlement of $5,318.40 reached on Jan. 29 and are down 6.04% for the year.

Lower prices reduced the dollar value of China’s holdings. The PBOC’s gold reserves were valued at $306.41 billion at the end of October, compared with $323.52 billion at the end of September, Reuters reported. Wang Qing, chief macroeconomic analyst at Orient Golden Credit Rating International, told China Daily that gold’s share of China’s official international reserves fell by 0.5 percentage point to about 7.9%, mainly because of the decline in international gold prices.

Room to accumulate

Wang said gold accounted for 27% of total reserve assets held by central banks worldwide at the end of 2025, indicating that China’s share remains well below the global average and leaving considerable room for further accumulation.

The PBOC was the largest disclosed buyer among global central banks in the third quarter, according to World Gold Council data cited by Bloomberg. Official-sector purchases reported by the council totaled a net 321 tons from July to September, the most since the fourth quarter of 2024. Bloomberg described such accumulation as a key source of support for gold prices in an otherwise tepid market.

The central bank’s activity also influences Chinese households. Many bought gold around $4,000 an ounce in October, expecting central-bank purchases to support prices over the long run, Bloomberg reported.

Broader reserves

China’s foreign exchange reserves, reported separately by the State Administration of Foreign Exchange, rose $4.9 billion, or 0.14%, to $3.4052 trillion at the end of October. The regulator attributed the change to currency translation and asset price movements as the U.S. dollar index rose during the month.

Gold traders this week will also watch U.S. inflation data. The October consumer price index is scheduled for Tuesday, Nov. 10, and the producer price index for Friday, Nov. 13, according to CNBC’s week-ahead calendar; both feed into expectations for Federal Reserve policy, which influences the dollar and the appeal of non-yielding bullion.

Sources: Reuters via The Hindu BusinessLine, Nov. 7, 2026; Bloomberg via Moneycontrol, Nov. 7, 2026; China Daily, Nov. 7, 2026; Caixin, Nov. 7, 2026; Dow Jones Market Data via Morningstar, Nov. 6, 2026; CNBC, Nov. 6, 2026.