Gold opened Monday’s session at $4,762, shedding $56 per ounce from last week’s close as the Gulf ceasefire news and a firming US dollar combined to trigger selling. For the majority of retail and institutional investors who have watched gold’s extraordinary 39.3% year-on-year appreciation, today’s morning dip is already familiar territory — gold has corrected multiple times during its 2026 bull run, and each time buyers have returned.
The most telling signal of gold’s structural health comes not from traders but from central banks. Global central bank gold purchases in 2025–2026 have averaged approximately 585 tonnes per quarter — the highest sustained buying rate in modern monetary history. Malaysia and South Korea, both previously inactive for years, resumed reserve purchases in early 2026. Uzbekistan was the single largest buyer in January. China has quietly continued adding to its gold reserves every single month for over two years.
Why do central banks buy gold? The answer is rooted in the same logic that drives ordinary families: gold cannot be printed, cannot default, and maintains purchasing power across decades. In a world where fiscal deficits in Western economies have reached record levels and triggered warnings from major financial institutions, the appeal of an asset with zero counterparty risk is self-evident.
On the supply side, constraints remain intact. Gold mine output grows at just 1–2% annually. New import tariffs in several key markets have elevated retail premiums above the global spot price, meaning the true cost of gold in many regions is already above $4,762. Physical demand in the Gulf, India, and Southeast Asia continues to absorb available supply.
Today’s prices: 24K — $153.20/gram | 22K — $140.44/gram | 21K — $134.05/gram | 18K — $114.90/gram All prices in USD. Indicative only. Please confirm in store.
