China was the largest identifiable buyer. Goldman estimates that China purchased 48 tonnes during the month. That figure includes gold officially reported by the People’s Bank of China, along with additional buying believed to have taken place through London’s over-the-counter market.

Goldman says this increase supports the view that central-bank demand has become a long-term feature of the gold market. The bank expects official institutions to buy an average of 50 tonnes per month in 2026 and 40 tonnes per month in 2027.

Survey evidence also supports this trend. A 2026 OMFIF survey found that diversification remains the main reason reserve managers are buying gold. Fifty-one percent of respondents pointed to protection from geopolitical risk, while 79 percent said the global monetary system is becoming more multipolar.

Goldman links this shift partly to the freezing of Russia’s forein reserves in 2022. That event showed central banks that foreign assets can be restricted during political conflict. Gold is attractive because it has no foreign issuer and can be stored inside a country’s borders.

This long-term demand supports Goldman’s forecast for gold to reach $4,900 per ounce by the end of 2026. In the near term, however, higher rate expectations may limit investor demand. Goldman expects that pressure to ease if the Federal Reserve avoids further hikes and begins cutting rates in 2027.