A Gold Bar Costs $1M for the First Time

The rising price of gold has resulted in a milestone: For the first time, a standard bar weighing 400 troy ounces costs $1 million, reports Bloomberg. The threshold was crossed Friday, when the price of spot gold hit $2,500 per troy ounce—continuing a run that has seen the price rise 20% so far this year, per CNN. A number of factors are at play, including the increasing likelihood that the Federal Reserve will cut interest rates as soon as September.

Generally speaking, when interest rates fall, the price of gold rises because it's seen as a "reliable store of value during periods of economic turmoil," per CNN. The speculation about rates also has weakened the dollar, "making gold more attractive as a safe-haven asset," per FirstPost. (The gold bars sold by Costco are much smaller.)