Story perspectives

China's Gold Demand Plummets to 13-Year Low

9/17/2025

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Summary

Story summary

In August 2023, China's wholesale gold demand dropped to 85 metric tons, the lowest level since 2010, as consumers favored stocks amid a rising equity market.
Contributing factors include seasonal trends, economic conditions, and price volatility.
Gold prices increased nearly 4% in August, surpassing $3,700 per troy ounce, driven by anticipated Federal Reserve rate cuts.
Despite the People's Bank of China boosting gold reserves, private demand weakened, with ETF investors withdrawing $834 million.
Future demand may recover due to seasonal buying linked to upcoming holidays and jewelry fairs.

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Story summary

In August 2023, China's wholesale gold demand dropped to 85 metric tons, the lowest level since 2010, as consumers favored stocks amid a rising equity market.
Contributing factors include seasonal trends, economic conditions, and price volatility.
Gold prices increased nearly 4% in August, surpassing $3,700 per troy ounce, driven by anticipated Federal Reserve rate cuts.
Despite the People's Bank of China boosting gold reserves, private demand weakened, with ETF investors withdrawing $834 million.
Future demand may recover due to seasonal buying linked to upcoming holidays and jewelry fairs.