New record gold prices have become the new market norm this year. In 2024, the precious metal has hit an all-time high six times, driven by demand from central banks. Among the global leaders in gold purchases is the National Bank of Poland (NBP), which added over 14 tons of the royal metal to its reserves in July alone.
On Tuesday, August 20th, the price of gold soared to $2,530 per ounce, marking the sixth time this year that the metal’s price has broken its historical record. Since then, except for a brief dip on Thursday, August 22nd, gold prices have remained above $2,500 per ounce, with the new week starting with further increases, bringing the metal close to its all-time high once again.
And this might not be the end. Primarily because a rate cut in the United States is looming. Jerome Powell, the head of the U.S. Federal Reserve, confirmed the upcoming cut during a speech at the Jackson Hole symposium, stating that the time for it has come and the direction is clear, with the pace of the cuts depending on incoming data, changing outlooks, and the balance of risk factors.
The National Bank of Poland Continues to Buy Gold
Geopolitical events and the policies of central banks also impact gold prices. Central banks have been consistently increasing their gold reserves and intend to continue this process. The National Bank of Poland is a prime example of this, having purchased 14.3 tons of gold in July alone, bringing the total gold reserves in Poland’s vaults to 391.7 tons.
In total, the NBP has purchased 33 tons of gold in 2024. While the central bank refrained from buying gold in the first quarter, it was the top gold buyer globally in the second quarter, purchasing 18.7 tons (4.7 tons in April, 10.3 in May, and 3.7 in June), sharing the title of the world’s leading gold buyer with India and surpassing countries like Turkey, China, Uzbekistan, Kazakhstan, and the Czech Republic.
Currently, Poland’s gold reserves represent just under 15% (specifically 14.78%) of the country’s total reserve assets. The National Bank of Poland does not intend to stop there, as NBP President Adam Glapiński recently confirmed that the goal is to achieve a 20% share of gold in Poland’s foreign currency reserves. Therefore, more gold purchases are undoubtedly on the horizon.
Michał Tekliński, Gold Market Expert, Goldsaver.pl, Goldenmark Group
Source: [managerplus.pl](https://managerplus.pl/cena-zlota-bije-kolejne-rekordy-a-nbp-wciaz-kupuje-kruszec-i-to-sporo-19858)
