The morning briefing from Chapman Gold: what moved the gold market and why it matters. Prices in the banner above are live.
Gold slips back below $4,350 as traders take profit
Gold eased on Friday, falling below $4,350 an ounce after touching a two month high earlier in the week. The move was attributed to profit taking rather than any change in the underlying picture, with traders positioning ahead of US retail sales figures and reassessing the likely path of Federal Reserve policy. (Markets.com)
Soft US labour data keeps rate cut expectations alive
Weaker than expected readings on the US labour market have kept expectations of Federal Reserve easing firmly in play, and that has been the main support under the gold price this month. Lower policy rates reduce the opportunity cost of holding metal that pays no yield, which is why every soft data print tends to show up in the gold quote within minutes. (Markets.com, LiteFinance)
China extends its central bank buying streak to 21 months
The People's Bank of China added roughly 20 tonnes, or 640,000 ounces, to its reserves in July. That is the 21st consecutive month of accumulation and the largest single monthly increase since October 2023, following an addition of about 15 tonnes in June. A buyer that adds every month regardless of price behaves very differently from an investor waiting for a dip. (Bloomberg)
Official sector demand is running ahead of forecasts
Central bank purchases have come in stronger than earlier estimates through 2026, and projections for the second half have been revised upward. Goldman Sachs now expects sovereign buyers to average around 60 tonnes a month across the year, driven by reserve diversification and geopolitical caution rather than by price. (Goldman Sachs, reported by Kitco News)
Poland leads the second quarter buyers, China close behind
The National Bank of Poland bought 51 tonnes in the second quarter, taking its first half total to 82 tonnes and its holdings to 632 tonnes against a stated target of 700 tonnes. The People's Bank of China added 33 tonnes over the quarter, its largest quarterly increase since the fourth quarter of 2023, lifting reported holdings to 2,346 tonnes. Uzbekistan, Kazakhstan, Jordan and the Czech Republic were also on the buy side. (State Street, August 2026 Monthly Gold Monitor)
Exchange traded funds turned back to inflows in July
Global gold backed funds took in a net US$3bn in July, led by European products, after a patchier spring in which May saw net outflows of 16 tonnes. Western investors have been the swing factor this year while Asian flows have held up, and a return of ETF buying alongside steady official demand removes one of the drags on the price. (World Gold Council)
Indian prices ease from record levels but remain far above last year
MCX gold slipped below Rs 1.54 lakh and Chennai retail prices fell by Rs 1,440 per sovereign on Friday, with silver holding near Rs 2.55 lakh. The scale of the past year is the more telling number: a sovereign in Chennai has gone from Rs 74,320 in August 2025 to Rs 1,12,320 now, a rise of about 51 per cent. (Sunday Guardian Live, DT Next)
Sources: Markets.com, Bloomberg, Kitco News, Goldman Sachs, State Street Monthly Gold Monitor, World Gold Council, Sunday Guardian Live, DT Next, LiteFinance. Compiled Friday 14 August 2026. Nothing here is investment advice; it is the news, read with a jeweller's eye. For what the market means in real terms, see The Gold Price, where the world is priced in gold.