Given that gold prices rose above $1,950 at the start of February and were below $1,850 for the second half of the month, this increase is not surprising, StoneX analyst Rhona O'Connell said. Also, Swiss exports into China were high in February, reflecting solid demand and also a pick-up in China after the Lunar New Year, which would have slowed things down a bit in January, O'Connell added. Data last week showed the world's biggest bullion refining and transit hub Switzerland's exports of gold to China rebounded in February. It exported 58 tonnes of gold to mainland China, the most since December. The Hong Kong data does not provide a complete picture of Chinese purchases because gold is also imported via Shanghai and Beijing.
Gold prices posted their biggest monthly decline since June 2021 in February, declining more than 5% after three consecutive monthly rises. Prices have rallied sharply this month, on the back of a global banking crisis fuelling demand for safe-haven assets, including gold. Premiums on physical gold in China swung between $10 and $40 an ounce over global benchmark prices last month, helped by strong demand amid a dip in international rates. "I suspect that the net imports into HK in February will be reflected in the March numbers with another pick-up – at least until the sharp rally of ten days ago," said O'Connell. <^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^ China's gold imports via HK triple in Feb on price dip ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^> (Reporting by Seher Dareen and Ashitha Shivaprasad in Bengaluru Editing by David Goodman, Louise Heavens, Peter Graff)
