With inflation stubbornly high, some people are looking to gold as an investment. And one place they're buying it is at Costco.
Consumers across the country are grabbing hold of gold amid inflation and economic uncertainty. The precious metal is tempting more and more shoppers, turning it into a modern-day gold rush.
"This is a currency that has been around for thousands of years. It is one thing that holds its value and increases its value over a duration of time," said Hitha Herzog, chief research officer of H Squared Research.
The phenomenon is playing out in giant numbers at Costco. A report from Wells Fargo says since the retail giant started selling one ounce gold bars at a slight a markup, they're now generating up to $200 million a month in sales.
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Humphrey Yang is a personal finance content creator. He now owns one of those Costco bars.
"I just had to pay $2,359 for it," he said. "I think this gold bar will hold its value, so I don't think I really spent $2,359, I more just converted one currency to another."
His TikTok video documenting the process has been seen about three million times since Monday.
"I think I'll just hold on to it as long as I can, and maybe I can pass it down to a future generation," Yang said.
Craig Beauregard and Julia Edwards decided to buy a bar on a whim while shopping for groceries.
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"We did a walk around the store, and we just couldn't get on off our mind. So we went back," Beauregard said.
They said they see it as a good investment, especially with a wedding to plan.
"It feels good to know that I'm -- I can hold it. I can bring it home and I know where it is," Edwards added.
Price of gold
The price of gold has risen substantially over the years. Its current price is $2,348 per troy ounce, which is the way gold is measured. That's up $359 from this time last year and almost 10 times what it was worth back in 2000.
But it's not a guaranteed investment. The price topped $1,800 in 2011, then plummeted below $1,100 in 2015 before climbing its way back up to today's record highs.
"The idea of it is that gold holds its worth and that is why people want to have that as a potential investment in their portfolios," Herzog said.
Editor's note: A previous version of this story quoted Yang saying he paid $23.59 for a gold bar. That has since been corrected.
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