Value of gold demand surges to new record high in Q1 2026

Record gold prices continued to shift demand dynamics in the first quarter of 2026, the World Gold Council (WGC) reports.

While volumes increased only modestly, the value of demand surged to a record $193 billion (over R3 trillion) - up 74% year-on-year.

Total quarterly gold demand (including Over-the-Counter, OTC) reached 1,231 tonnes, a 2% increase y/y.

The stats are contained in the Council's latest Gold Demand Trends report.

The WGC notes that around the world, retail investors were drawn to gold’s price momentum and safe-haven appeal amid prevailing uncertainty.

This drove bar and coin demand up 42% y/y to 474 tonnes.

Demand was particularly strong in China, which surged 67% y/y to a record 207 tonnes, considerably higher than the previous quarterly record of 155 tonnes in Q2 2013.

Other Eastern markets, including India, South Korea and Japan, also saw an increase in bar and coin buying, contributing to the ongoing structural shift in gold demand. Bar and coin demand was also supported by strong growth in the US and Europe, up 14% and 50% respectively.

Stephen Grootes asks WGC strategist Joseph Cavatoni whether the appetite of central banks for gold is still a big driver of demand.

Cavatoni affirms that the central bank community, as well as increasingly global investors, continue to make up the lion's share of the growth in demand.

He says it's important to keep in mind that investors on a world-wide basis are interested in getting involved in the gold market, but there are different factors shaping behaviours.

"You can see that in some of the data we've just published, with Asian Exchange Traded Funds (ETFs) as an example hitting a first quarter number that puts it on pace to have a record year, while in Western markets like the US and Europe there's a bit of a slowdown... but OVERALL, there is continued interest."

What is challenging right now is that it's difficult for investors, or anyone, to see a clear way for the Middle East conflict to end, he says.

"As a result, knowing that oil is at the heart of everything that seems to be playing out with the US-Iran conflict, it leads to the risk of inflation coming back in real terms and that is going to put immediate headwinds to gold."

Scroll up to the audio player to listen to Cavatoni's analysis