Central banks turn to gold again

It is projected that the demand for gold by central banks worldwide will follow an upward trend throughout 2026. Volatility in financial markets and the high levels observed in gold prices are leading some countries to restructure their reserve portfolios.

According to analysts, central banks with a low share of gold in their reserves are looking for opportunities for new gold purchases despite high prices. In particular, new buyers from the official sector will play a significant role in the gold market this year.

According to assessments by ANZ Research strategists Soni Kumari and Daniel Hynes, new demand is expected from various central banks despite the high gold prices recorded at the beginning of the year. Kumari and Hynes emphasized that the Central Bank of Malaysia's first net gold purchase since 2018 is a concrete example of a strategic shift at the global level.

On the other hand, the possibility of central banks in developed markets selling from their gold reserves is considered a low probability by experts. In particular, the recent increase in geopolitical tensions and economic uncertainties are causing developed countries to maintain the importance of gold in their reserve portfolios.

For the remainder of the year, activity in the gold market is expected to continue with the influence of both traditional and new buyers.

News Source: 12punto