China's central bank said on Friday it has suspended treasury bond purchases, triggering a jump in yields and spurring speculation that the move was aimed at defending a falling currency.

The unexpected action is intended to tamp down a potential bubble in the bond market fueled by investors shunning riskier assets like stocks and real estate.

China’s central bank expanded its gold reserves for a second month in December, signaling renewed appetite after temporarily pausing purchases last year as prices soared.

The People's Bank of China (PBC) announced on Friday that it has decided to temporarily suspend treasury bond purchases in the open market, starting from this month. The central bank said the decision was made as demand exceeded supply on the government bond market recently,

Justin Trudeau is resigning as Canadian Prime Minister, and Germany’s solar power industry is in trouble. US bankruptcy filings hit their highest rate in 14 years, and the People’s Bank of China has announced a major policy overhaul as pressures on the economy mount.

Assessing the final act of 2024, central banks around the world continued to play a leading role in the demand for gold. Click to read.