In February, The Bank of Mongolia (BoM) purchased 795.3 kg, raising the BoM’s total precious metal purchase of 2022 to 2.4 tons. The figure shows an increase of 464.6 kg as compared with the same period of the previous year. The average price of BoM’s purchase of 1 gram of gold is MNT 180,905 this month.

In China, discounts widened to between $4 and $6 an ounce over global benchmark spot rates from $2 to $4 the previous week.

In Hong Kong, gold was sold at anywhere between on par with the benchmark rates to $4 discounts, versus $3 discounts last week.

Indian gold prices jumped to 55,558 rupees per 10 grams earlier this month, not far from the all-time high of 56,191 rupees hit in August 2020.

Regional physical demand is patchy, given the COVID-19 situation in China and the massive discounts in India and there is no question that the physical demand in Europe and Asia that propped the market up has weakened, said independent analyst Ross Norman.

But demand from institutional buyers continues to be robust, Norman said. Gold in Singapore, meanwhile, continued to trade at premiums of about $1-1.80 an ounce. While businesses and retail investors have started purchasing gold as prices pull back from recent highs, “we’ve seen a lot more selling” since prices are still comparatively elevated,” said Brian Lan, managing director at dealer GoldSilver Central.