Costco is expanding its precious metals offerings, building on top of its rollout last year of gold bars, which often sold out within hours. The retailer is now adding 1-ounce platinum bars to its lineup.
Described as 999.5 pure platinum, the new bar is Swiss-made by a refiner that has earned the Good Delivery accreditation from the London Bullion Market Association (LBMA), an international trade association for the precious metals industry.
Costco’s gold bars were such a hit with customers that the retailer had trouble keeping them in stock. After the retailer added silver coins to its lineup, Wells Fargo estimated that the chain was selling as much as $200 million of gold and silver each month to its members.
The platinum bar is retailing for $1,089.99 — if you can get it.
The bar is only sold online, and Costco says delivery is unavailable in Nevada, Louisiana and Puerto Rico. But the Costco site on Thursday also noted that the platinum bar was unavailable for delivery in several other locations throughout the U.S., including New York and Utah.
Costco didn’t immediately respond to a request for comment.
Yes, Costco says it is limiting members to one purchase, with a maximum of five platinum bars per transaction.
The precious metal, which is used in jewelry as well as for industrial items such as catalytic converters, hasn’t had the same kind of recent performance as gold, which has long been viewed by investors as a hedge against inflation as well as a source of financial stability when stock and bond markets are volatile.
During the past year, the spot price for platinum has increased about 16%, compared with a 42% gain for gold, FactSet’s data shows.
Platinum’s current spot price is $1,004 an ounce, according to financial services company FactSet, which means that Costco’s price is about 8% higher than the market value.
