Convenience stores become popular sales platform for small gold bars
KOMSCO, CU convenience
stores capitalize on gold price rally
Korea Minting, Security Printing & ID Card Operating Corp. (KOMSCO) has joined hands with the country's largest convenience store chain, CU, to sell gold bars, capitalizing on the latest gold price rally.
Solely controlled by the Ministry of Economy and Finance, KOMSCO is tasked with the production of banknotes and government-certified commemorative medals and bullion.
It
said Thursday a total of three types of gold bars it minted have been available
for sale at CU stores nationwide since the beginning of this month. CU is
operated by retail giant BGF Retail.
The limited run items, vary in weight and price. A 0.5 gram bar is sold for 77,000 won, while a 1 gram bar is sold for at 113,000 won and a 1.87 gram bar was sold for 225,000 won. The 1.87 gram bars sold out in just two days after going on sale.
More than 60 percent of the bars have already been sold, according to KOMSCO. "We believe the popularity of the gold bars is a result of the surging gold prices," KOMSCO said. KOMSCO referred to gold's price surging to record highs above $2,400 per ounce this year over investors' growing preference for safe assets due to heightened geopolitical risks and deepening economic uncertainties.
The gold bars sold at CU were most purchased by those in their 30s, who accounted for 41.3 percent of all buyers. Those in their 40s made up 36.2 percent of buyers, while those in their 50s and 20s accounted for 15.6 percent and 6.8 percent, respectively.
Meanwhile, gold prices have been ascending at a sharper pace due to the wars in the Middle East and Ukraine, as well as the U.S. Federal Reserve's move to lower benchmark interest rates.
Unrelenting Chinese demand added to such an ascent, as retail shoppers and investors are concerned about the country's staggering economy and look to bullion as a reliable store of value.
Source: https://www.msn.com/