Central banks slashed their gold purchases in early 2026 - Financial Times

Central banks sharply reduced their gold purchases in early 2026, according to Financial Times reporting, marking a notable slowdown in the official-sector demand that had supported bullion prices through recent years of record accumulation.

The development matters because central bank buying has been one of the most closely watched pillars of the gold market. When official institutions step back, prices can become more sensitive to other drivers — ETF flows, jewelry demand, and macro factors such as interest rates and the dollar. A pullback does not necessarily signal a change in long-term reserve strategy; purchases often ebb and flow with prices, budget cycles, and reserve-management priorities. The scale and duration of the slowdown are the key unknowns, since the report does not quantify how far buying fell or which institutions reduced activity.

For market participants, the takeaway is that gold's demand base may be shifting. Watch upcoming official reserve data and central bank commentary for confirmation of whether this is a pause or a trend, and how other buyers respond to the gap.