USD $4,127.96
Goldman For years, we heard that central banks were the only buyers left in the market. But data from early 2026 tells a different story: retail investors are leading the charge.
Here’s what the latest World Gold Council reports reveal about who is buying gold and silver globally—and here in Australia.
Central Banks: Still Buying, but Slowing
Central banks remain a major pillar of demand, but their pace has shifted. In Q1 2026, they bought 244 tonnes—a solid year-over-year increase. However, their overall buying pace has slowed following the record-breaking 863 tonnes purchased in 2025.
Countries such as Poland and Uzbekistan have recently been active buyers, while nations including Turkey and Russia have increased their selling. Central banks are still diversifying their reserves away from fiat currencies, but the frantic pace of 2024 and 2025 has eased slightly.
Retail Investors: The New Powerhouse
The real surge is coming from individual investors. Global bar-and-coin demand jumped 42% in Q1 2026 compared with the previous year, reaching the second-highest quarterly level on record.
Why? Geopolitical uncertainty, inflation fears and a growing desire for tangible assets.
In Australia, this trend is even more pronounced. Australian investors bought 3.9 tonnes of physical gold in Q1 2026—up 23% year over year. That was double the 1.9 tonnes added to gold-backed ETFs.
Despite record-high prices, Australian investors are looking beyond short-term volatility. Many prefer holding physical bullion at home or in safe-deposit boxes rather than relying on paper-based exposure.
Australia also remains one of the world’s top 10 gold ETF markets, with $7.9 billion in assets under management as of May 2026.
Silver: Following Gold’s Footsteps
While gold receives most of the attention, silver demand is also surging, driven by both industrial uses—particularly in solar energy and electronics—and investment demand.
When gold reaches new highs, silver often follows later. This can make it attractive to retail investors looking for greater leverage within the precious-metals market.
Where Could Prices Go Over the Next Six Months?
Looking ahead to late 2026, the outlook remains bullish, although volatility is likely.
Geopolitics: With global tensions remaining high, gold’s status as a safe-haven asset remains strong. Any escalation in global conflicts will likely push prices higher.
Inflation and Interest Rates: Higher-for-longer interest rates typically pressure non-yielding assets. However, if inflation remains persistent, gold becomes an increasingly important hedge. The World Gold Council expects robust demand to continue, underpinned by these broader economic factors.
Price Targets: Analysts remain cautiously optimistic. After 53 new all-time highs in 2025, structural support from central bank diversification and retail accumulation has created a strong floor under prices. Continued upward momentum could push gold to fresh record highs.
