Physical gold sales in Singapore surged in the first four months of 2025, with bullion demand reaching 2.5 tonnes in the first quarter, up 35% year-on-year, marking the steepest increase since 2010, Channel News Asia reported. Despite gold prices breaching $3,000 in March and climbing to $3,500 soon after, investor appetite remains strong.

Analysts attribute the buying spree to mounting economic uncertainty, prompting a shift to safe-haven assets like gold. High-net-worth individuals are increasingly converting paper holdings into physical gold, preferring secure vault storage to hedge against risk.

Across India, China and other parts of Asia, reports are coming in of an increase in gold purchases with shortage of supply in some areas. Many are hoping to take advantage of a recent dip in gold and silver prices after the highs seen earlier in the year.

The World Gold Council highlighted waning confidence in traditional safe havens like the US dollar and Treasuries, bolstering gold’s appeal. However, not all segments are benefitting, demand for gold jewellery dropped 20% in Q1, with buyers deterred by higher prices and additional costs such as GST. Investment-grade bullion, which is exempt from such taxes, has become the preferred choice. Analysts expect sustained demand, supported by central bank purchases and geopolitical concerns, likely driving gold prices to new record highs through the rest of the year.