Central banks continued to buy gold at pace in a quarter that saw the gold price reach a series of record highs. Bar and coin investment was firmer, offsetting continued outflows from ETFs. Inclusive of sizable OTC buying by investors, total gold demand increased 3% y/y to 1,238t – the strongest first quarter since 2016.

March review: Gold had a strong March as futures investors, green shoots from US gold ETFs and Geopolitical risk helped drive prices to new all-time highs. Looking Forward: Gold ETF investors have catching up to do in an under-owned market while Indian elections will likely stall local demand in April.

Global gold ETFs lost US$823mn in March, extending their losing streak to ten months. But outflows narrowed significantly compared to previous months as inflows into North America (+US$360mn) and Asia (+US$217mn) cushioned European losses (-US$1.4bn).