China’s central bank stepped up its gold buying again in September, adding 23 tonnes to official reserves.
The Kobeissi Letter reported that this was China’s largest monthly gold purchase since September 2023 and marked the 23rd consecutive month of buying.
That followed purchases of 20 tonnes in both July and August.
So far in 2026, China has officially added 103 tonnes of gold, taking total reserves to a record 2,410 tonnes.
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China Keeps Building Its Gold Reserves
The gold chart makes the acceleration easy to spot.
China’s reported monthly purchases were relatively small through much of 2025, often in the 1 to 5 tonne range.
The pace changed significantly in 2026.
Purchases rose to 5 tonnes in March, 8 tonnes in April, 10 tonnes in May, 15 tonnes in June, then 20 tonnes in both July and August before increasing again to 23 tonnes in September.
That is the strongest monthly number in roughly three years.
BREAKING: China’s central bank officially bought +23 tonnes of gold in September, its largest monthly purchase since September 2023. This follows +20 tonnes purchased in both August and July, and marks its 23rd consecutive monthly gold purchase. So far in 2026, China has officially acquired +103 tonnes of gold, raising total holdings to a record 2,410 tonnes. China is now the world’s 5th-largest gold holder, following the US, Germany, Italy, and France. At this pace, it could surpass Italy and France as early as this year, which hold 2,452 tonnes and 2,437 tonnes, respectively. China is aggressively buying the dip in gold.
— The Kobeissi Letter (@KobeissiLetter) October 9, 2026
China is now the world’s fifth-largest official gold holder, behind the United States, Germany, Italy and France. With Italy holding roughly 2,452 tonnes and France around 2,437 tonnes, China is getting close to both if the current buying pace continues.
The broader message is that the People’s Bank of China has not been discouraged by gold’s recent volatility.
If anything, the latest data shows buying has accelerated into weakness.
Gold Price Has Started Recovering
Gold has also improved after dropping to a two-month low earlier this week.
Spot gold reached around $4,194 on Friday after recovering from levels close to $4,100, helped by bargain hunting, softer yields and a weaker dollar.
That recovery is important because gold had been under heavy pressure from Treasury yields above 5% and a strong U.S. dollar.
China’s continued buying adds a longer-term demand source underneath the market, but short-term price action will still depend heavily on rates, the dollar and expectations around the next Fed move.
Read also: “They Crashed Gold Price on Purpose” – The Real Plan Behind the Debt Crisis
Gold Price Outlook
The first upside area to watch is around $4,200.
A clean move above that level could open the door toward $4,250 to $4,300.
Beyond that, $4,400 becomes the more important recovery target.
On the downside, $4,120 to $4,100 remains the first support area. If that fails, the $4,000 region becomes important again.
For the short term:
| Scenario | Gold price area |
|---|---|
| Bullish | $4,200 breaks, opening $4,250-$4,300 |
| Neutral | Gold trades between $4,100 and $4,200 |
| Bearish | $4,100 fails, putting $4,000 back in focus |
China’s latest purchase does not guarantee an immediate rally.
But 23 consecutive months of buying, combined with a fresh three-year high in monthly purchases, gives gold a strong structural demand story underneath the current volatility.
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