China’s central bank reported that its gold holdings rose for the 15th consecutive month, edging up to 74.19 million troy ounces at the end of January 2026 from 74.15 million at the end of December. The increase is modest in absolute terms — roughly 40,000 ounces, or about 1.2 tonnes — but its persistence underscores a deliberate, gradual approach to reserve diversification.
The State Administration of Foreign Exchange also said China’s total foreign-exchange reserves ticked higher to $3.399 trillion at the end of January, an increase of $41.2 billion (1.23%) from December. Officials attributed the rise to a combination of valuation effects — notably a weaker dollar and higher global asset prices in January — and routine portfolio movements, rather than a single large transaction.
Market commentators noted that international gold prices have repeatedly set new highs in recent months, and Chinese analysts characterize the central bank’s purchases as “small-step” accumulation. That phrasing reflects a choice to build exposure quietly and steadily: enough to change the structure of reserves over time without provoking major price swings or signaling abrupt policy shifts.
The move matters because it is part of a broader, long-running trend among central banks to hold more gold as insurance against currency volatility, geopolitical risk and long-term inflation. For China, which holds the world’s largest official foreign-exchange stockpile, modest purchases serve both practical and symbolic functions — they diversify reserve risk while sending a calibrated signal that reserve managers are optimising asset mix.
Looking ahead, the impact on global markets is likely to be limited: the scale of China’s monthly additions is small relative to global gold market turnover. But policy intent is what investors watch. Continued small, steady purchases would reinforce the narrative of strategic de-risking of dollar-heavy reserves and could subtly raise the floor for safe-haven asset prices if other central banks follow suit.