China and other central banks continue to buy the dip in gold

By Neils Christensen – Kitco

Gold prices continue to trade in elevated territory, holding new support above $4,700 an ounce, and some analysts have noted that downside risks for the precious metal remain limited as central bank demand continues to provide solid support.

Specifically, the People’s Bank of China continues to see lower gold prices as a buying opportunity, as the central bank bought 8.1 tonnes of gold in April, following its 5-tonne purchase in March.