Here’s something you haven’t heard in a while: The price of gold is dropping.

With news of the price surging ubiquitous in recent years, a drop in the value of the shiny yellow metal is rare. And a major decline in price is even rarer. But that’s exactly what happened this week when the price of gold fell by 6% on October 21, its largest single-day decline in more than a decade. At $4,131.47 per ounce as of October 23, the price is still relatively high, just not as high as it was in recent weeks. And questions are now arising about the potential for the price of the metal to fall even further in the weeks and months to come.

This is a particularly pressing question for investors considering purchasing gold from major retailers like Costco or Walmart. While the price here may be slightly different than what can be found with pawnshops or gold investing companies, a decline offers a new, affordable entry price point. And, unlike with an online company, shoppers can easily get invested via a quick ride to their local store. So, is Costco gold actually worth buying as the price drops? Below, we’ll break down what to consider right now.

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Is Costco gold worth buying as the price drops?

In short, most gold types, regardless of the source they’re sold from, are worth purchasing now after the price dropped. And that includes big retailers like Costco, as many shoppers have already realized significant gains after buying the metal from the store after it started selling bars in 2023. Costco just offers a more flexible way to buy in, and for some, it may be a more trustworthy path than having to deal with local jewelers or pawnshops, whose price markup on gold could be less transparent.

In general, however, a price decline in gold is worth exploiting, no matter where you ultimately feel most comfortable securing the metal from. Price dips in the gold market are almost always temporary, as can be inferred from a glance at the price chart over the last few years. It wasn’t that long ago, for example, when investors were wondering when gold would tip over the $3,000 per ounce mark. Now, however, it easily sits over $4,000 per ounce. 

And, if you buy in now, and gold moves toward the $5,000 mark in the near future, you’ll be well-positioned to exploit that turn with a sale. And if you bought Costco gold, which is already vetted by experts and more accessible in a physical bullion form, as opposed to gold IRAs and ETFs, it may be even easier to sell for a quick profit. That profit also won’t be marginalized by shipping costs, as it would with other companies, as Costco often waives that expense for members. At the same time, gold sales from the retailer are final, so you’ll need to make sure it’s worth purchasing before checking out online or in your local store.

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What about gold investing companies?

Not all gold investing companies are created equally, as some prioritize quick profits over quality of service and product. But if you take the time to explore the top companies, however, you may find them to be a better alternative to buying gold at Costco or Walmart. 

These companies have a wider selection of investment opportunities to choose from, ranging from gold IRAs to ETFs, stocks and more. These companies can also help you tailor your gold investing strategy in a way you won’t be able to by purchasing the metal over the counter at a local retailer. And they can offer ongoing support as your gold investing journey continues, which can be critical now with the price consistently rising and the role of gold in your wider portfolio evolving.

The bottom line

A drop in the price of gold should be taken advantage of strategically, not avoided by cautious investors. That’s true regardless of where you plan to purchase it from, whether it’s Costco, your local jeweler or one of the respected gold investing companies you can visit online. Be sure to research your gold investment types, however, and the sources you plan to utilize with care. Be aware of gold investing red flags, too, and perhaps most importantly, limit your gold investment to a maximum of 10% of your portfolio, even with the price declining again. That will better allow your other income-producing assets to more naturally perform at the same time.