In Korea, a gold ring carries deep meaning. Traditionally, it has been given by family or friends to wish a baby good health and fortune on their first birthday. It also serves as a financial safety net later in life — something to sell in times of hardship. But this long-standing tradition is now under threat as gold prices soar. “My son received a gold ring on his first birthday in 2015. This year, my friend’s son is turning one, and I can't ignore how much gold prices have risen," said a woman in her late 30s, who asked to be identified as Min’s mom. "Since I received a ring back then, I feel torn. Should I keep the tradition and give a gold ring, or would it be better to give cash instead?” The custom of giving gold rings on a baby’s first birthday traces back to Chinese immigrants who arrived in Korea during the Joseon Dynasty. Gold was believed to ward off bad luck and, thanks to its lasting value, symbolized an investment in the child’s future. Gold also holds historical significance in the Korean economy. During the 1997 Asian financial crisis, many families donated their treasured gold rings to a nationwide gold collection campaign to help stabilize the economy. Today, people’s hesitation stems from the unprecedented rise in gold prices. Since the beginning of the year, the spot price of gold has surged nearly 30 percent, hitting an all-time high of $3,500 per ounce on Monday. Demand has spiked globally, fueled by tariffs and geopolitical tensions that began when U.S. President Donald Trump took office. In Korea, the rise has been even more pronounced. In February, the so-called "kimchi premium" — where domestic gold prices exceeded international rates — reached around 20 percent. Gold rings or bracelets of the same weight are generally more expensive due to added craftsmanship fees and value-added tax. As of Thursday, the price of one don (a traditional unit of gold weighing 3.75 grams) was 670,000 won ($466.87) — a 1.49 percent increase from the day before. Including extra charges from jewelry makers, a one-don gold ring for a baby’s first birthday now exceeds 700,000 won. "These days, most people opt for a half-don gold ring instead of a full one. Even people who have gold rings from past birthdays are considering selling them," said a jewelry shop owner in Seoul’s Jongno District. "It’s worrying because craftsmanship fees are our main source of income." Another factor reshaping the tradition is the shift toward small, family-only birthday celebrations. In the past, a baby’s first birthday was marked with a large gathering — a celebration of survival at a time when infant mortality was high. But today, with improved health care and changing social values, such as the decline in marriage and birthrates, the celebration has become more modest. Market watchers anticipate gold prices will continue to rise. J.P. Morgan has even projected that they could surpass $4,000 per ounce due to stagflation concerns. Many are turning to alternatives. One emerging trend is 1-gram gold rings, priced similarly to a one-don ring from a decade ago, along with mini gold bars available at various price points. Samsung Gold Exchange, which sells a variety of gold products through KakaoTalk Gift, reported that sales of lower-weight items have surged nearly tenfold since the start of the year. KakaoTalk Gift allows users to send real-world gifts through a digital voucher directly via chat. Gift certificates, along with the ever-reliable choice — cash and practical goods — are also gaining popularity. In a 2023 survey conducted by market research firm Embrain Trend Monitor of 1,000 adults nationwide, the most commonly considered gifts for a baby’s first birthday was 100,000 won in cash (53.1 percent) and baby clothes and apparel (29.3 percent). "Receiving a one-don gold ring feels burdensome nowadays," an online user commented on a community forum for moms in Gyeonggi Province. "It’s best to give something practical that doesn’t place a burden on either side."   (ICE SEOUL)

Fonte notizia: The Korea Times