2.73 Million Won... The 'This Product' That Sold Like Hotcakes at Costco

Gold Bars Selling Like Hotcakes at US Costco

As gold prices hit record highs in the international market, gold bars have recently surged in popularity at Costco, a warehouse retail chain in the United States.

Gold bars continue to sell out at Costco.
[Photo by Costco website]

On the 11th (local time), The New York Times reported, "Costco has been selling gold bars since last October, along with grocery items such as $1.50 hot dog and soda combos and mayonnaise." Richard Galanti, Costco's Chief Financial Officer (CFO), stated, "The gold bars sold out within hours of launching online sales." Costco's gold bar sales amount to $200 million per month (approximately 275.8 billion KRW).

The gold bars sold by Costco are 1-ounce 24K pure gold. Only Costco members can purchase the gold bars, and prices fluctuate according to market rates. In December last year, the average price per bar was about $2,000 (approximately 2.73 million KRW).

The NYT cited high inflation and geopolitical concerns as reasons for the rising popularity of gold bars in the U.S. It also noted that increased gold purchases by central banks worldwide, including China, have contributed to the rise in gold prices.

Amid this, first-time gold buyers are turning to the familiar Costco. The convenience of buying gold at Costco is also a factor in its popularity. A Costco representative explained, "Instead of opening an account and buying gold stocks, you can simply go to the store and buy gold directly."

[Image source=Reuters Yonhap News]

On the 12th, at 11:30 a.m. Eastern Time at the New York Mercantile Exchange, the price of June delivery gold futures rose $45.3 (1.9%) from the previous day to $2,418.0 per ounce. This marked the first time international gold prices surpassed the $2,400 per ounce level. During the session, gold prices reached an intraday high of $2,448.8 per ounce, breaking the all-time record just one day after the previous high.