Mentioned:
The demand for gold recently has been relentless. And now, it’s starting to cause a supply shortage.
What’s happening:
- South Korea’s mint has officially halted sales of gold bars after completely running out of supply due to record shattering demand for purchasing physical gold
Why it matters:
- Gold prices have been soaring to new all time highs amidst a relentless demand from investors for exposure to publicly listed gold companies and physical gold
Going deeper:
- This is most extreme shortage of gold in the history of South Korea, with the government being unable to even provide an estimate for when physical gold sales will be able to resume due to an inability to secure meaningful supply
- Multiple large banks in South Korea have also recently had to suspend gold bar sales due to a lack of supply, including KB Kookmin and Woori
The intrigue:
- Purchasing physical precious metals has also been on the rise in America, which has notably led to retail giant Costco (NASDAQ: COST) starting to generate hundreds of millions of dollars a month in new revenue from physical gold and even platinum bars
