What happened
World Gold Council data revealed central banks purchased a net 289 tonnes of gold in the second quarter of 2026, marking a 62 per cent year-on-year increase. Buying was led by Poland, which added 51 tonnes, and China, which purchased 33 tonnes during the period.
Why it matters here
Strong official sector accumulation highlights gold's role as a liquid, risk-free reserve asset amidst global geopolitical uncertainty. If official demand maintains spot prices near current levels around US$4,120 to US$4,280 per ounce, Australian gold producers could deliver earnings above current market consensus projections.
What to watch
The World Gold Council’s upcoming third-quarter demand trends report and monthly reserve disclosure statements from active central bank buyers.
Source
australianresourcesandinvestment.com.au