A report released by the World Gold Council on October 31 showed that global gold demand reached 1,313 tons in the third quarter of 2025, setting a new record for a single quarter in history, which was equal to the supply during the same period. This explosive growth was driven by both central bank gold purchases and private investment: the net gold purchases by global central banks reached 220 tons in the quarter, a month-on-month increase of 28%; the total demand for gold investment soared to 537 tons, a year-on-year increase of 47%.
The market enthusiasm was directly reflected in price trends. The price of COMEX gold futures climbed to $4,038.30 per ounce, with a significant increase compared to the beginning of the year. The World Bank, in its Commodity Markets Outlook, predicted that the gold price would rise by 42% in 2025 and further climb by 5% in 2026, forming a sharp contrast with the continuous four-year decline in energy prices. Multiple factors supported this trend: the divergence in global central bank monetary policies intensified market uncertainty; the U.S. dollar depreciated by approximately 10% this year, enhancing the investment value of gold; and geopolitical risks strengthened its safe-haven attribute.
Notably, the Hong Kong Special Administrative Region Government is accelerating its layout in the gold market. It has invited the Shanghai Gold Exchange to participate in the establishment of a gold central clearing system, aiming to surpass 2,000 tons in trading volume within three years and build a regional gold reserve hub. This initiative echoes the People’s Bank of China’s promotion of RMB internationalization. The latter clearly proposed in the 2025 RMB Internationalization Report to study RMB foreign exchange futures and promote the application of digital RMB in cross-border payments.
