Central Banks Step Up Gold Purchases Despite Record-High Price

Central banks accelerated gold purchases in the third quarter, as several returning buyers braved record-high prices to bet on bullion’s value as a hedge against a vulnerable US dollar.

The 220 tons purchased in the July-September period marked a 28% increase over the preceding quarter and reversed a slowdown in the early part of the year, according to a report by the World Gold Council. The National Bank of Kazakhstan was the largest single buyer, while Brazil’s central bank bought gold for the first time in more than four years.