LONDON: London emporium Harrods has started selling gold bars, the plush department store announced on Friday, just two days after the precious metal hit a record high in commodity market trading.
Harrods Bank, in the basement of the giant shop owned by Egyptian tycoon Mohamed Al Fayed, is now selling gold ingots, with prices fluctuating according to the current market price.
On Friday, the smallest ingots, weighing one gram, were selling for £29.12, while the largest blocks, weighing 12.5 kilograms, cost £265,210 pounds.
The financial environment has kindled a new demand for physical gold amongst private investors in Britain, said Chris Hall, head of Harrods Gold Bullion.
For many people this is a new and unfamiliar asset class that demands absolute trust. Up until now, however, London has had no well-recognized name serving this market.
Harrods saw the opportunity to help individuals buy physical gold in a prudent manner and, together with (Swiss precious metals refinery) PAMP, we can now provide a globally recognized product at a fair price.
In trading on the London Bullion Market on Wednesday, one ounce or 28 grams of gold struck a record pinnacle of $1,070.80 on the back of the sliding US currency.
A weak greenback makes the dollar-denominated metal cheaper for investors holding stronger currencies. -AFP
