China’s foreign exchange reserves increased to $3.438 trillion in August 2026, up from $3.419 trillion in July and exceeding market expectations of $3.43 trillion. The rise came as the yuan appreciated by 0.5% against the US dollar, while the dollar weakened by 0.4% against a basket of major currencies. At the same time, the People’s Bank of China extended its gold-buying streak to a 22nd consecutive month, boosting its holdings to 76.73 million fine troy ounces, from 76.08 million at the end of July. The value of China’s gold reserves climbed to $350.08 billion at the end of August, from $306.35 billion a month earlier.