ANALYSIS: China Stockpiling Crude Oil, Gold Amid Sluggish Post-Pandemic Economy

China’s post-pandemic economic recovery has fallen short of economists’ expectations so far this year, with various metrics pointing to a stalling landscape. Despite disappointing data coming out of the world’s second-largest economy, the country has been stockpiling crude oil and gold as if it were experiencing accelerated growth.

A pumpjack is seen at the Sinopec-operated Shengli oil field in Dongying, Shandong Province, China, on Jan. 12, 2017. Chen Aizhu/Reuters

News Analysis

China’s post-pandemic economic recovery has fallen short of economists’ expectations so far this year, with various metrics pointing to a stalling landscape. Despite disappointing data coming out of the world’s second-largest economy, the country has been stockpiling crude oil and gold as if it were experiencing accelerated growth.

Gold Glitters in China

Last week, the People’s Bank of China (PBoC) announced that it increased the country’s gold reserves for the ninth consecutive month in July. The central bank added 23 tons last month, lifting total stockpile volumes to 2,137 tons.