The People’s Bank of China (PBoC), China’s central bank, expanded gold reserves again in July, raising holdings to 62.26 million ounces from 61.94 million a month earlier, according to data on its website, said Bloomberg.
The inflow was close to 10 tons, following the addition of about 84 tons in the seven months to June. This week, the conflict between Washington and Beijing worsened as the RMB breached the 7-per-dollar level.
“It is important for the country to diversify away from the US dollar,” said Philip Klapwijk, managing director at consultant Precious Metals Insights Ltd. “Over the long run, even relatively small-scale gold purchases add up and help to meet this objective.”
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