China's Gold imports in 2022 hit highest level since 2018 – WGC

Dhwani Mehta FXStreet

According to the latest data published by the World Gold Council (WGC) on Wednesday, China's gold imports rebounded strongly in the second half of last year.

Additional takeaways

China's Gold imports increased by 64% year-on-year last year, totaling upto 1,343 mt of gold, the highest level since 2018.

China’s Gold imports reached 157 mt in December.

The total amount of gold withdrawn from the Shanghai Gold Exchange in January this year was 140 mt, down 25% from the same period last year, mainly affected by the CNY holiday.

Earlier this month, the People's Bank of China reported that it increased its holdings of gold by 970,000 ounces to 64.64 million ounces in December last year, increasing its holdings of gold for the second consecutive month.

Market reaction

Gold price is holding higher ground near $1,842 on its rebound from six-week troughs of $1,831, underpinned by a broadly weaker US Dollar and resurgent Chinese Gold demand.

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

AUD/USD recovers toward 0.7000 amid improving mood

AUD/USD is firming up toward 0.7000 in Asia on Tuesday, helped by improving market mood. A pause in the US Dollar rebound also aids the pair's upside. However, geopolitical risks and caution ahead of AI tech earnings report could limit the pair.

USD/JPY flatlines near 158.50 as markets seek direction

USD/JPY steadies around 158.50 in the Asian trading hours on Tuesday. Traders prefer to wait on the sidelines ahead of Japan’s National Consumer Price Index inflation data later on Friday. Meanwhile, elevated US bond yields provide some support to the US Dollar against the Japanese Yen.

Gold falls as bond yields regain ground ahead of Meta Q3 earnings

Gold price declines to near $4,120 in the European trade. The precious metal faces selling pressure amid a recovery in yields on United States bonds and rising oil prices. US Treasury Yields have shown signs of recovery, with US hyperscalers set to report their Q3 earnings in near time. As of writing, 10-year US Treasury Yields are down 0.35% to near 5.13%, but gained 1.2% on Monday.

NEAR Protocol: Mild correction persists despite resilient ETF inflows

NEAR Protocol price is down nearly 2% on Tuesday, mirroring its 2% decline from the previous day. Institutional demand remains firm, with Bitwise’s NEAR-focused Exchange Traded Fund (ETF) recording over $5 million in inflows on Monday.

Chip bounce fails to inspire Asia and France weighs on Europe

Preview: US chips rebound, but Europe and Asia slide; oil firms on Gulf supply fears. Risk caught a bid on Monday, buoyed by better-than-expected Chinese Q3 26 GDP growth and a rebound in chipmakers. US equity benchmarks recovered most of Friday’s lost ground, with the S&P 500 touching gloves with the underside of its 50-day SMA around 7,705 and the Nasdaq 100 leading the way, adding 1.2%.

The US Dollar fell. Gold didn't rally. That tells you everything

Gold (XAU/USD) is struggling to capitalize on a weaker US Dollar (USD), after repeatedly failing to establish itself above the $4,200 level. The precious metal remains confined to a relatively narrow trading range despite a combination of developments that would normally support higher prices.