The gold price has been shining bright lately.
Really bright.
The gold price has been trending higher since late October 2022.
And it really began to lift off in February this year.
On 15 February, bullion was trading for US$1,992 per ounce. After hitting a series of new all-time highs in May, the yellow metal has retraced a touch and is currently trading for US$2,370 per ounce.
As you'd expect, that 19% increase has offered heady tailwinds to ASX gold stocks like Northern Star Resources Ltd (ASX: NST), Regis Resources Ltd (ASX: RRL) and Newmont Corp (ASX: NEM), to name a few.
To give you some idea, since market close on 15 February, the S&P/ASX All Ordinaries Gold Index (ASX: XGD) has rocketed 23.0%. That compares to a gain of 3.8% posted by the All Ordinaries Index (ASX: XAO) over the same time.
Atop from buying gold stocks, a lot of investors are also looking to own the physical metal.
And with the gold price soaring, a new trend is taking off.
Image source: Getty Images
Rocketing gold price spurs new buying trend
As Bloomberg reports, South Korean convenience store GS Retail sells all the usual items you'd expect.
And one more.
Next to the cash register and checkout snacks, you'll also find a gold vending machine. The machine sells gold bars ranging in size from 37.5 grams to less than 1 gram.
Now, this trend first kicked off in 2022 with five GS Retail stores sporting gold vending machines.
But with the gold price rocketing, the company now has 30 gold vending machines in South Korea.
According to a GS spokesperson (quoted by Bloomberg):
Currently, we are seeing about 30 million won [AU$33,000] of sales per month. The gold vending machine draws customers' attention due to increasing demand for safe haven assets and the spreading trend of micro-investing.
And the competition has taken note.
BGF Retail Co, which operates CU convenience stores in the country, started selling 1 gram gold cards on 1 April and sold out within two days.
"Sales accelerated as CU's fixed-price gold products became cheaper than the market price," a CU spokesperson said.
Commenting on the soaring gold price and rising consumer demand for physical bullion, Seokhyun Paik, an economist at Shinhan Bank, said:
Retail investors who put their money into assets such as US Treasury bonds and Japanese yen from last year didn't get a return they wanted. Then they turned their attention to gold.
