China's Gold Frenzy: A Strategic Move Against US Dollar, What It Means for India

• China's central bank has aggressively bought gold for 14 consecutive months, accumulating 1.35 million ounces as a strategic move against US dollar risk.
• Despite record high prices, China's continuous buying, supported by global central banks, provides strong support to gold markets.
• Goldman Sachs speculates China's actual gold purchases could be higher, signaling a long-term bullish stance on the metal.
• This global trend is expected to drive Indian gold prices higher, potentially reaching ₹200,000 in the coming months.
• Gold ETFs are witnessing significant inflows as investors seek safe havens, while Silver ETFs experience profit booking and outflows.

Why It Matters: China's strategic gold buying against the US dollar is fueling global price surges, impacting Indian investors.