China's central bank added 480,000 troy ounces (14.93 tonnes) of gold to its reserves in June, marking the 20th consecutive month of gold purchases, as part of its strategy to diversify foreign-exchange reserves and reduce dependence on US-denominated assets.
Argentina's Central Bank Governor met with the head of China's central bank to discuss the global economy and monetary system. While Argentina denies swap renewal talks are on the agenda, reports suggest progress is being made on extending the agreement.
China's economy shows sluggish consumption and weak investment in May, with new bank loans falling year-on-year. Despite regulatory efforts, demand remains weak, though the tech sector is a bright spot amid innovation drives.
The People's Bank of China, Hong Kong Monetary Authority, and Bank Indonesia have established a framework for direct bilateral transactions, facilitating the exchange of Indonesian rupiah and Chinese yuan to boost regional currency use and Hong Kong's role as an offshore renminbi hub.
People's Bank of China Governor Pan Gongsheng urged the IMF to take a clear stand against protectionism and defend multilateralism at the fund's 53rd International Monetary and Financial Committee meeting in Washington. Pan warned that escalating geopolitical conflicts, including the US-Israeli war on Iran and the effective closure of the Strait of Hormuz since February 28, are dragging down global growth, exacerbating financial market volatility and threatening energy and food security, particularly for developing countries.
