for gold despite potential challenges in the coming year.
According to the report, central banks purchased a total of 31 tons of gold in January, with Turkey leading the way by adding 23 tons to its central bank’s reserves. The People’s Bank of China also purchased 15 tons of gold, indicating a continued interest in the precious metal.
Despite the ongoing COVID-19 pandemic and potential economic challenges in the coming year, central banks appear to be maintaining their demand for gold. The WGC report notes that gold has historically been seen as a safe-haven asset during times of economic uncertainty, and central banks may be turning to the metal as a way to hedge against potential risks.
The report also notes that gold prices have been down since the end of January, when the price per ounce reached $1,950 against the U.S. dollar. However, the current price of $1,857.50 per unit still represents a 1.12% increase over the past day.
Overall, the WGC report suggests that central banks will continue to be a major source of demand for gold in the coming year, despite potential challenges. As the world continues to grapple with the ongoing pandemic and economic uncertainty, the precious metal may continue to play an important role in global financial markets.
