(Kitco News) - Global economic uncertainty has driven unprecedented demand for gold, pushing prices to record highs in the first quarter. Much of that demand has been fueled by investor interest in larger bars and gold-backed exchange-traded funds.
However, data from three major sovereign mints show that retail demand for smaller coins and bars has been mixed, with solid interest in gold bullion and lackluster sales of silver.
On Monday, the British Royal Mint reported record-breaking online sales of bullion coins in the first quarter, marking its third consecutive quarter of exceptional demand.
Although the British Royal Mint doesn’t publish official sales numbers, it said in a press release that from January to March 2025, revenue from bullion coins rose 46% quarter-over-quarter and 306% year-over-year compared to Q4 of the previous year.
“This is the strongest start to any calendar year since The Royal Mint began selling bullion products online, highlighting continued investor appetite for haven assets,” the mint said.
The Royal Mint noted that demand was driven by a combination of price momentum—as gold hit new all-time highs against the pound 17 times during the quarter—and the appeal of tax-free safe-haven assets. Bullion coins are exempt from capital gains tax in the United Kingdom.
“The sustained surge in gold demand shows the growing appeal of safe-haven assets in today’s economic climate,” said Stuart O’Reilly, Market Insights Manager at The Royal Mint. “This activity signals a shift in investor sentiment, as more individuals seek to protect and grow their wealth amid global volatility.”
Along with strong gold investment demand in the U.K., the mint also reported robust performance across its precious metals offerings.
“Revenue from the sale of silver bullion was up 134% year-on-year,” the mint said. “Demand for Digital Silver also surged, with weight sold up 887% year-on-year and 86% quarter-on-quarter. Overall, Digital Silver revenue grew 1,268% compared to the same period in 2024.”
The Royal Mint also reported solid sales growth in platinum bullion coins.
“As gold continues to reach new highs, momentum has driven further interest in The Royal Mint’s physical silver, platinum, and digital precious metals products, offering more accessible entry points for investors,” O’Reilly added.
The British mint provided only online sales data. Sales data from the Perth Mint and U.S. Mint paint a more mixed picture of retail demand for smaller coins and bars.
The U.S. Mint sold 91,000 ounces of gold in various denominations of its American Eagle coins during the first quarter—its best performance since Q1 2024; however, sales were down 45% year-over-year.
Silver demand was weaker: the U.S. Mint sold 3.8 million ounces of silver bullion in the first quarter, a 54% drop compared to the same period last year.
Meanwhile, Australia’s Perth Mint recorded solid growth, selling 40,537 ounces of gold in March as prices approached $3,000 an ounce.
The Australian mint sold 84,188 ounces of gold coins during the first three months of 2025, a 40% increase compared to Q1 2024.
“Gold was a standout performer in March, delivering exceptional returns that outshone many other asset classes, as market uncertainty around tariffs and the health of the U.S. economy drove investors to safe-haven assets,” the Perth Mint said.
However, like the U.S. Mint, the Perth Mint reported softer silver demand, selling 1.6 million ounces in Q1, down nearly 39% from a year earlier.
Looking ahead, analysts warn that small bar and coin demand could struggle as gold prices climb. Although gold has pulled back from its all-time highs near $3,500 an ounce, it continues to hold solid support around $3,300.
While many retail consumers may be priced out of the gold market, analysts see renewed opportunity for silver, with the gold-silver ratio trading near a multi-year high above 100.
