Gold’s Center of Gravity Shifts East as Asian Markets Dominate Flows

February 13, 2026 | Fides Global Bullion Newsroom

Market Snapshot

• Gold: $5,080/oz | Silver: $62.05/oz

• Trend Diagnosis: Gold trading activity and physical demand are increasingly anchored in Asian markets, signaling a structural shift in price discovery and liquidity.

• Key Highlights:

  • Asian exchanges and physical hubs, particularly China, India, and Singapore, now dominate daily gold turnover.

  • Regional demand, driven by festive, industrial, and central bank flows, is influencing global spreads and premiums.

  • Western exchanges are experiencing relatively lower market participation, with Asia setting pricing benchmarks and physical settlement trends.

The Why

The eastward shift reflects growing Asian accumulation, strategic reserve diversification, and cultural demand cycles. China’s and India’s increasing market influence means that bullion flows, premiums, and price signals are more sensitive to Asian macro and policy developments than traditional Western indicators.

For institutional investors, this transition signals that tracking Asian liquidity, import/export flows, and central bank purchases is increasingly critical for accurate price assessment and risk management. It also underscores the importance of factoring in FX dynamics and regional premium behavior when hedging or allocating reserves.

What the Market Is Missing

• Western market participants may underappreciate the speed and magnitude of Asia-driven pricing and physical flows.

• Asian demand is not purely cyclical; it is structurally anchored through policy, reserves, and private accumulation, providing a consistent liquidity anchor.

• Misjudging the eastward shift may lead to timing errors in futures and OTC positioning, especially for cross-border traders.

Forward Outlook (Next 5–7 Days)

1. Scenario: Asian Demand Remains Strong

   • Condition: Lunar New Year flows, central bank purchases, and industrial consumption continue.

   • Impact: Gold premiums and spreads tighten in Asia, influencing global prices upward.

2. Scenario: Short-Term Flow Adjustments

   • Condition: Seasonal demand tapering or logistical delays.

   • Impact: Western markets may temporarily influence volatility, but structural eastward trend persists.

Cross-Market Signal

• FX and regional interest rates in Asia will increasingly correlate with gold price movements.

• Energy and industrial metals flows may also reflect Asian market sentiment, but gold remains the strategic anchor.

Strategic Overlay

Missed Opportunities (Where Markets Are Complacent)

• Ignoring Asia’s dominance in setting physical and paper market prices.

• Underestimating how regional policy, import controls, and premium behavior affect global risk positioning.

Strategic Implications (If Executed Well)

• Hedging: Incorporate Asia-driven liquidity signals into timing and flow management.

• Reserve Allocation: Recognize Asian accumulation as a price-stabilizing anchor.

• Portfolio Protection: Mitigate mismatch between Western-focused exposure and Eastern market signals.

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