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Gold prices in Korea surpass 1 million won per unit in latest milestone

Published: 22 Jan. 2026, 16:14 Updated: 22 Jan. 2026, 18:23

Gold bars are seen at a jeweler's in Jongno District, central Seoul on Jan. 21. [NEWS1]

Gold prices in Korea surpassed 1 million won per 3.75 grams for the first time on Thursday, driven by a surge in investor demand for safe-haven assets amid heightened global geopolitical tensions.

The price movement, equivalent to $5,640 per ounce, marked a milestone for the asset based on the traditional Korean measurement of don, historically applied to precious metals and herbal medicine and still used for gold and silver, as global prices continue to spike.

The retail buyback price of pure gold per don stood at 1,009,000 won, according to the Korea Gold Exchange on Thursday, a nearly 90 percent jump from 530,000 won at the beginning of last year as the price went on to set new records almost daily.

The international gold price has also been on a steep rise, surpassing $4,800 per ounce and climbing as high as $4,885 during intraday trading on Wednesday.

Analysts attribute the rally to a combination of geopolitical risks that have fueled investor preference for safe assets.

The year began with political turmoil in Venezuela and Iran. More recently, a key trigger was the escalation in tensions between the United States and the European Union sparked by U.S. President Donald Trump’s expressed intent to annex Greenland.

Although Trump announced on Wednesday that he would withdraw his plan to impose tariffs on eight European countries — providing a temporary reprieve — persistent market uncertainty continues to drive capital into gold.

Gold prices are seen at the Korea Gold Exchange in Jongno District, central Seoul on Jan. 13. [NEWS1]

Silver has also gained strength, bolstered by growing industrial demand and supply constraints. As of the previous day, silver was trading at 22,180 won per unit based on the retail buyback price.

Investment in gold has remained robust. The ACE KRX Gold Spot ETF, Korea’s first exchange-traded fund for physical gold, recently surpassed 4 trillion won in net assets.

Experts say the current bull run in gold prices reflects a structural shift rather than a short-term anomaly.

“While we may see short-term corrections if geopolitical risks ease, the long-term trend is likely to push the upper range of gold prices even higher,” said Shim Soo-bin, a researcher at Kiwoom Securities.

This article was originally written in Korean and translated by a bilingual reporter with the help of generative AI tools. It was then edited by a native English-speaking editor. All AI-assisted translations are reviewed and refined by our newsroom.
BY KYO SEUNG-PYO [[email protected]]