China Doubles Down on Gold Strategy Amid Trump Trade Tensions

The People’s Bank of China added 0.09 million troy ounces of gold to its reserves in March, marking its fifth straight month of purchases. This follows a six-month pause after an earlier 18-month buying spree.

China’s actions reflect a wider movement among central banks worldwide to diversify their reserves with gold amid growing global trade tensions and geopolitical instability. Gold prices reached an all-time high exceeding $3,100 per ounce last month, concluding Q1 with a 19% increase. Despite recent price declines triggered by market-wide selloffs in response to President Trump’s aggressive tariff policies, analysts expect continued support for gold prices through central bank purchasing and global ETF inflows.