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Gold extends rally as PBoC adds 640,000 ounces to reserves
Spot gold pushed above $4,320 per ounce as central bank buying and stronger Chinese ETF demand supported prices, while COMEX speculative net longs rose to multi-month highs.
Gold prices extended their rally, helped by fresh purchases from the People’s Bank of China, according to ING analysis cited by FXStreet. The PBoC added 640,000 ounces to reserves, extending a 21 month streak of accumulation.
FXStreet reported that spot gold moved above $4,320 per ounce, with the move underpinned by ongoing central bank demand and stronger appetite for gold via Chinese exchange traded funds.
The analysis also pointed to positioning trends in futures markets, saying speculative net long positions in COMEX gold and silver increased to multi month highs.
Taken together, FXStreet said the combination of reserve buying, ETF demand, and rising speculative longs has helped keep the rally going.
Latest closeGold $4,292.00 ▲1.1%|Silver $61.56 ▼0.9%