Gold ETF Holdings Hit Record 4,189 Tons as China Buys Another 20 Tons

Gold ETF Holdings Hit Record 4,189 Tons as China Buys Another 20 Tons

Global physically backed gold ETFs attracted $18 billion in August, the second-largest monthly inflow on record, according to the World Gold Council. Holdings rose by 121 tonnes to a record 4,189 tonnes, while total assets under management climbed 16% to $615 billion.

At the same time, the People’s Bank of China added 20.2 tonnes of gold in August, its largest monthly purchase since October 2023. China’s official holdings have now increased for 22 consecutive months, reaching 2,387 tonnes.

ETF Demand Is Surging Again

The August inflow was driven mainly by North American and European funds. North American gold ETFs attracted $7.7 billion, while European-listed funds added $7.9 billion, their strongest month on record. Asian funds contributed another $2 billion.

That helped reverse some of the weakness seen earlier this year and pushed total ETF holdings above every previous historical peak. The surge also coincided with a 13% monthly rise in the gold price, the metal’s strongest month since January. Stronger momentum, concerns around U.S. debt and Treasury-market stress all contributed to renewed investor demand.

China’s Gold Buying Is Accelerating

China’s August purchase stands out because it nearly