Gold demand has been hitting highs, with first-quarter demand at 1 290 t, a 21% year-on-year increase and the second-highest quarterly demand on record. The World Gold Council puts the higher demand down to big inflows into exchange-traded funds (ETFs), fuelled by investor concern about economic fragility and an uncertain financial landscape. ETFs amounting to 364 t were bought in the quarter, the highest since 2009. Investment demand as a whole was up 122% to 618 t, from 278 t in the same period last year. The high demand ignited a rally in the gold price, which rose 17% in dollar terms during the quarter. Total bar and coin demand was 254 t, marginally higher than the same period last year.