China lowered the global price of gold
According to reporter Mehr At the end of last month, the amount of gold held by the People’s Bank of China was unchanged at 72.8 million troys (digital currency), according to official data released on Sunday. The central bank of the country decided not to add to the reserves in May and ended its 18-month purchases, which caused the price of gold to reach its highest level.
Some analysts still believe that buying will resume as the world’s second-largest economy looks to diversify its reserves and protect against currency depreciation. According to the World Gold Council, about 20 central banks still expect to increase their gold reserves next year, driven by rising geopolitical and financial risks. It is possible that the increase in the price of gold has hindered the purchase.
The precious metal hit an all-time high above $2,400 an ounce in May, and since then, gold prices have fallen as investors shrugged off the prospect of a U.S. rate cut this year.
Gold experienced its biggest daily decline in three years when China’s central bank released data on halting gold purchases in May.
