Smart seniors are buying gold at Costco — but not at the jewelry counter. They’re buying gold bars as an investment and, yes, you read that right — they’re buying them at Costco. Find out why below. Gold Prices Are Up Gold prices have soared recently, with the precious metal rising 70% in the past year, according to GoldPrice.org. By comparison, the S&P 500 is up 13.95%. See Next: How To Get a 10% Return on Investment (ROI): 10 Proven Ways Read This: 6 Things You Must Do When Your Savings Reach $50,000 ...

NEW YORK (AP) — The rush for gold climbed to new heights at the start of 2026, with prices hitting a fresh record earlier this week. And around the world, people have lined up to either sell pieces of the precious metal they already own or buy into the frenzy. Consumers are going to local merchants to cash in golden jewelry. Some are purchasing gold coins or bars for the first time. Others are also putting money into investments like exchange traded funds, trading on the metal's value in a similar way to ...

Group 1: Gold Price Movement - Gold futures opened at $4,594.30 per troy ounce, down 0.1% from the previous closing price of $4,599.10, but later rose 1.2% to an all-time high of $4,647.60 [1][2] - Gold's one-year gain was reported at 74.5% as of December 29, with recent weekly, monthly, and yearly changes showing increases of 3.2%, 7.4%, and 71.8% respectively [5][8] Group 2: Political Influence on Gold Prices - Concerns regarding the Federal Reserve's independence from political pressure have contributed to the recent surge in gold prices, particularly following the Trump administration's actions against Fed Chair Jerome Powell [2][4] - A coalition of 10 central bank and financial institution leaders issued a statement supporting Powell, emphasizing the importance of central bank independence for economic stability [3] Group 3: Investment Options in Gold - Various methods to invest in gold include physical gold, gold mining stocks, gold ETFs, and gold futures, each with distinct advantages and disadvantages [6][9] - Physical gold is tangible and easily accessible, while gold mining stocks can be volatile due to their dependence on gold prices and geopolitical risks [13][17] - Gold ETFs track the price of gold and offer greater liquidity, but they come with fund fees that can dilute returns [19][23] - Gold futures allow for leverage and convenience but carry higher risks and complexity [21][24]

Core Insights - The price of gold has significantly increased this year, reaching record highs in October, which is beneficial for investors but raises concerns for gold jewelry owners regarding the value of their possessions [1]. Price Trends - The price of gold has surged from approximately $2,658 per troy ounce at the beginning of January 2025 to $4,467 per troy ounce by the first full week of January 2026, indicating a substantial increase in value [2]. - Since the year 2000, the price of gold has risen by about 1,400%, in contrast to a 382% gain in the S&P 500 during the same period [4]. Jewelry Valuation - The retail value of gold jewelry typically exceeds the intrinsic value of the gold used, influenced by the quality and karat content of the piece [4]. - Pure gold's malleability necessitates its combination with other metals for durability in jewelry [5]. Insurance Considerations - Home insurance coverage for jewelry is generally limited compared to other personal belongings, with standard policies often having a sublimit for jewelry theft around $1,500 [6][7]. - The value of gold jewelry for insurance purposes may differ from its replacement value, which is closer to the retail value [5].

Core Insights - Costco operates with a limited selection of approximately 4,000 stock-keeping units (SKUs), significantly fewer than the 30,000 typically found in supermarkets, focusing on quality, price, brand, and features [1] - Despite rising costs due to inflation, Costco has maintained the price of its hot dog and soda combo at $1.50 since its introduction in 1985, subsidized by sales and membership revenue [2] - The company offers three membership types: Business ($65), Gold Star ($65), and Executive ($130), with over 145 million members, more than double that of its closest competitor, Sam's Club [3] Company History - Costco was founded in 1983 by James Sinegal and Jeff Brotman, focusing on a members-only retail model, and quickly expanded its warehouse locations [4][5] - The merger with Price Club in 1993 created a significant player in the warehouse retail industry, initially named PriceCostco, which later became simply Costco [5][18] - The company has seen substantial growth since its inception, with sales exceeding $1 billion by 1984 and continuing to expand internationally [4][18] Leadership and Expansion - Costco has had three CEOs since its merger: James Sinegal (1983–2011), W. Craig Jelinek (2012–2023), and Ron Vachris (2024–present), with each contributing to the company's growth and expansion [8][10][11] - Under Jelinek, Costco's sales surpassed $100 billion in 2013, and the company successfully navigated the challenges posed by the COVID-19 pandemic [10] - Vachris has ambitious plans for expansion, targeting the opening of 28 new stores in the U.S. and internationally in 2026, as part of a $6.5 billion expansion strategy [11][12] Financial Performance - Costco's revenue from membership fees has shown consistent growth, reaching $5.3 billion in 2025, with total sales approaching $250 billion [39] - The company’s net income exceeded $8 billion in 2025, reflecting its strong market position and operational efficiency [39] - Costco's market capitalization has grown significantly, surpassing $475 billion by 2025, indicating robust investor confidence and market performance [39]

Gold Market Overview - Gold futures opened at $4,333.50 per troy ounce, slightly above Tuesday's closing price of $4,332.30, with a one-year gain tying its last peak achieved on November 14 [1][4]. Employment and Economic Indicators - The U.S. economy added 64,000 jobs in November, surpassing the expected 45,000 but lower than September's 108,000. The unemployment rate rose to 4.6%, higher than the median forecast and the highest since September 2021 [2][3]. Interest Rate Implications - Job market weakness has led to three interest rate cuts in 2025, contributing to gold's significant rise in value this year [3]. Gold Price Performance - Gold's price performance over different time frames includes a 3% increase over the past week, a 3.3% increase over the past month, and a substantial 63.4% increase over the past year [7].

Gold Price Overview - Gold futures opened at $4,237.50 per troy ounce, slightly above Tuesday's closing price of $4,236.20, and 2.8% below the all-time high of $4,358 reached in October [1] - The price of gold has remained stable over the past week as traders await a Federal Reserve decision and economic data that will influence 2026 expectations [2] Analyst Expectations for Gold Prices - Analysts from Deutsche Bank and Heraeus predict gold prices may remain below $4,000, while J.P. Morgan Private Bank suggests prices could rise to $5,300 per ounce next year [3] Historical Price Changes - Gold's one-year gain as of November 14 was 63.4%, with a weekly increase of 0.5% and a monthly increase of 4.4% [4][8] Investment Options in Gold - Common investment options in gold include physical gold, gold mining stocks, gold ETFs, and gold futures [9] - Each investment type has its own advantages and disadvantages, impacting investor decisions [10][12][18][22] Physical Gold - Advantages include tangibility, ease of purchase, and no ongoing fees [10][16] - Disadvantages involve risks of theft or loss and lower liquidity compared to stocks or ETFs [16] Gold Mining Stocks - Advantages include greater liquidity and no storage requirements [17] - Disadvantages consist of higher volatility and lack of utility as a medium of exchange [17] Gold ETFs - Advantages include ease of storage, greater liquidity, and direct ties to gold prices [21] - Disadvantages involve fund fees that can dilute returns and lack of utility in emergencies [21] Gold Futures - Gold futures allow control over large amounts of gold with low capital outlay but carry high risk and complexity [22]

Core Insights - Gold futures opened at $3,939.50 per ounce, marking a 0.5% decrease from the previous day's close of $3,960.50, which is the lowest opening since October 28 [1] - The price of gold has fluctuated around $4,000 after a recent pullback from all-time highs, influenced by economic uncertainties, a weakening dollar, and a trade agreement with China [2] - Stock prices have declined recently, which may increase demand for gold as a safe-haven asset [3] Current Price of Gold - The current opening price of gold futures is down 0.5% from the previous close, with a notable increase of 62.4% from one year ago as of October 17 [4][8] - The price changes over the past week, month, and year are as follows: -1.1% (week), +0.8% (month), and +43.6% (year) [8] Investment Options in Gold - Various methods to invest in gold include physical gold, gold mining stocks, gold ETFs, and gold futures [9] - Physical gold encompasses jewelry, bars, and coins, appealing to those who prefer tangible assets [6] - Gold mining stocks are subject to volatility due to their dependence on gold prices and geopolitical risks [11] - Gold ETFs track gold prices and can invest in physical gold, mining stocks, or futures, with SPDR Gold Shares being the largest [15] Advantages and Disadvantages of Investment Options - Physical gold offers easy accessibility and no ongoing fees but has risks of theft and lower liquidity [16] - Gold mining stocks provide greater liquidity and no storage requirements but come with higher volatility and no utility as a medium of exchange [17] - Gold ETFs have advantages like easy storage and liquidity but incur fund fees that can dilute returns [20] - Gold futures allow for leverage and convenience but carry high risk and complexity [21]

Core Insights - The strong performance of gold is primarily driven by rising investment demand, particularly from institutional buying and gold-backed ETFs, alongside individual purchases of gold bars and coins [1][5] - Central banks continue to support gold demand, accounting for approximately 20% of global demand, although their purchasing rate has slowed compared to record levels in 2022 [2][13] - Jewelry demand has declined in volume due to higher prices, confirming that investment demand is the main driver of the gold market [3] Investment Demand - Investment demand for gold in the Middle East grew by 4% in the first half of 2025, while jewelry demand declined due to elevated gold prices [6] - Gold-backed ETFs experienced a 6.1% increase in total assets during Q3 2025, equivalent to around 222 tons, with a total increase of 20% since the beginning of the year [5] Geopolitical and Economic Factors - Rising geopolitical and economic turbulence, including regional tensions and inflationary pressures, are influencing gold prices, enhancing its appeal as a safe haven [6][7] - The correlation between the Global Geopolitical Risk Index and gold prices indicates that a 100-basis-point rise in the index typically corresponds to a 2.5% increase in gold prices [9] Market Dynamics - Recent sharp increases in gold prices are largely attributed to tactical activities from hedge funds and speculative investors, which may lead to short-term price corrections [10] - The valuation of gold serves as a diversification tool and store of value, showing an inverse relationship with stock markets during downturns [11] Central Bank Trends - Central banks are expected to remain active players in the gold market, with a survey indicating expectations for global gold reserves to continue increasing [13] - The World Gold Council has adjusted its forecast for central bank demand downward due to soaring prices but raised expectations for investment demand [14] Future Outlook - The future direction of US interest rates is crucial for investors, with the Federal Reserve's fiscal policy expected to shape the global trajectory of gold prices [15]

Core Insights - Jamie Dimon, CEO of JPMorgan, expressed a cautious acceptance of gold as a potential investment, suggesting it could reach prices of $5,000 to $10,000 per ounce in the current economic environment [1][2] - Gold has experienced a significant price increase, with a 63% gain in 2025, outperforming JPMorgan's stock, which is up 26%, and the S&P 500, which has risen by 12.5% [2] Market Dynamics - The surge in gold prices is primarily driven by central banks and large institutions purchasing gold in bulk, while private collectors in the US are also seeing substantial increases in the value of their gold assets [3] - The price of one-ounce gold bars has increased by over $1,300 in seven months, indicating strong demand despite high prices [4] - Sales of new gold coins and bars from some mints are beginning to decline due to elevated prices, although demand for physical gold remains robust [4][5] Consumer Behavior - High prices have not deterred consumers, as evidenced by strong sales at retailers like Costco, where gold bars are selling quickly [5] - There is a psychological threshold in the market that may stabilize prices temporarily, but profit-taking could occur as well [5][6] - Increased interest in gold among novice investors has been noted, partly attributed to retail experiences at places like Costco [6]