Demand for physical gold solid in Q1.

 Prior to April's sharp sell-off in gold futures and the SPDR Gold Trust (GLD), demand for physical gold was robust, as Q1 witnessed the first increase in U.S. demand for gold jewelry in seven years. Overall, jewelry demand rose 12% worldwide in Q1 and demand from China rose 19% to a record 185 metric tons. In terms of bar and coin sales, demand was even stronger, rising 22% in China, 52% in India, and 43% in the U.S. Meanwhile, gold held by ETFs fell 177 metric tons, showing outflows were apparent even before the sell-off. Ultimately, the data show the fundamentals of the gold market are intact, despite moves in the "non-physical market," the World Gold Council said.