As of April 28, the worldwide cost of gold is approximately US$3,338 for each ounce (roughly 28 grams), while in Indonesia, the price stands at 1.965 million rupiah (US$117) per gram.
This marks an increase of about 10 percent compared to last month when it was 1.79 million rupiah.
Other countries in the region are also experiencing a surge in gold interest.
In Malaysia, reports indicate a 25 percent rise in customer traffic to jewelry stores, according to local news.
Vietnam has also witnessed long lines at stores as people queue to purchase gold.
In Thailand, where gold holds significant cultural value, younger generations are participating in the market due to financial advice shared on social media, leading to the popularity of gold-trading apps.
However, unlike in Indonesia, there have been no reports of people waiting overnight in these other countries.
Some individuals in Indonesia might realize that the surge in gold prices is linked to Trump’s Liberation Day, while others may not, according to Eko.
He mentioned that rising living costs in Indonesia prompt people to prepare for uncertain times.
Additonally, some might still have leftover money from their Eid bonuses, which employers distributed to employees at the end of March, and they consider investing it in gold.
Eko observed that many individuals hopping in line for gold these days are younger people, like Resty, and the high interest may stem from Gen Z and millennials being more financially savvy than older generations.
“Even if Gen Z and millennials don’t have a lot of cash, they’re beginning to invest earlier than their predecessors,” Eko noted.
He also highlighted that these generations, being digitally connected, often experience a strong fear of missing out (FOMO).
Economist Fithra Faisal from Samuel Sekuritas Indonesia echoed this perspective.
He remarked that many Indonesians often live paycheck to paycheck, seeking to take advantage of the current situation as rising gold prices seem like a quick way for them to buy low and sell high for profit.
“Given the potential that gold prices will continue to rise—having gone from 1.7 million rupiah per gram to 1.8 million, then 1.9 million, and now 2 million—they want to make the most of it.”
