The Gold Rush: Why This Precious Metal is Now Popping Up in Supermarkets

2023-12-30 22:00:32

After the toilet paper madness during the pandemic, it’s time for a gold rush in the country’s supermarkets: gold bars, coins and other precious metals can now be found in their aisles.

With the price of an ounce of gold having reached record highs in recent weeks – above $2,000 – the popularity of this metal has also been reflected among retailers. According to Costco CFO Richard Galanti, the company sold more than $100 million worth of gold during a recent 12-week period.

In the United States, Walmart also began selling gold, silver and platinum bars to consumers online.

Costco did not respond to requests for comment from CBC News, but company representatives previously said in a meeting with investors that gold bars sold out within hours of being put into circulation. line.

Diversify your portfolio

Erfan Hashempour, a resident of Richmond Hill, Ontario, has invested in gold and silver over the past few years by purchasing coins. In particular, he was surprised to see that gold bars and coins were on sale at his neighborhood Costco warehouse.

You expect to find everything at Costco, but not gold, he was surprised.

Open in full screen mode

Erfan Hashempour invests in gold for both cultural and financial reasons.

Photo : Craig Chivers/CBC

For Mr. Hashempour, gold is both a cultural and financial investment. I am originally from Iran. In our culture, gold has always been important, he explains.

If he invests in certain precious metals, it is to diversify his financial and investment portfolio. It is also a way to address concerns about the long-term stability of currencies and stock market investments.

My parents and family members have always advised me to invest in precious metals such as gold and silver, because it is not something that depreciates [comme] this has been the case for Iranian money over the past 40 years, he continues.

Protection against instability

People seeking to protect themselves [financièrement] are turning to precious metals, says Jonathan Rose, a precious metals salesman who works for Genesis Gold Group in Beverly Hills, California.

Open in full screen mode

The volatility of cryptocurrencies and the fluctuating value of the US dollar are pushing people towards physical assets like gold or silver.

Photo : Associated Press

According to him, these investors are worried about movements in currencies or stock markets, and gold has proven itself as a stable investment.

Related Articles:  Bruno Colmant: "The fall of Silicon Valley Bank is not a systemic problem"

He adds that other factors, like the volatility of cryptocurrencies and the fluctuating value of the U.S. dollar, are pushing people toward physical assets like gold or silver.

Whenever there is geopolitical instability internationally, people seek refuge or escape to safety.

However, David Wagner, a portfolio manager, believes that gold does not always protect against financial hazards such as inflation, and that people who invest in gold sometimes act out of fear.

If they think the U.S. currency is going to depreciate, they’ll buy gold, says Mr. Wagner, who works at Aptus Capital Advisors in Cincinnati, Ohio. To be completely honest, these people expect the end of the world to come soon.

False sense of security

Many people trust an investment they can see, feel and hold in their hands, Wagner said. For these same reasons, he adds, it can also give them a false sense of security: physical investments can be lost or stolen.

This type of concern, however, is not likely to move those who invest in gold, like Mr. Hashempour.

I feel like gold is a safe investment…while things can go wrong for companies you buy shares of on the stock market.

The latter, however, specifies that he holds many traditional investments in stocks and currencies, and that he did not put all his eggs – golden or not – in one basket.

According to a text by Anis Heydari, CBC (New window)

#consumers #rush #Costco #buy.. #gold #bars

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.