Gold Prices and Rates 2026-08-18: One 1 Don of Pure Gold Is in the KRW 870,000 Range, but the Benchmark Price Is KRW 746,663
As of 11:49 on the night of 2026-08-18, the international gold price was USD 4,387.08 per 1 troy ounce, the USD/KRW exchange rate was KRW 1,411.65, and the domestic won-denominated benchmark price was KRW 199,110.26 per 1g. Converting that benchmark price into 3.75g, equivalent to 1 don of pure gold, gives approximately KRW 746,663.
However, physical pure gold quotations for the same day showed a buying price in the KRW 870,000 range for 1 don. The International Standard Gold Exchange quoted KRW 871,000 for its own 3.75g gold bar, while other domestic pricing sources showed levels around 87 to KRW 875,000. Therefore, the first distinction to make when checking gold prices is not simply 'How much is gold today?' but which type of gold transaction the quoted price represents.
What Was the Gold Price on the Night of 2026-08-18?
According to KB Kookmin Bank's quotation published at 11:49:53 p.m. on 2026-08-18, the benchmark gold price was KRW 199,110.26 per 1g. The price applied when customers bought gold through gold banking was KRW 201,101.36/g, while the selling price was KRW 197,119.16/g. The international gold price was USD 4,387.08 per troy ounce, and the applicable USD/KRW exchange rate was KRW 1,411.65.
Because 1 don equals 3.75g, converting the figures into the same unit makes comparison much easier.
| Category | Quoted Value for 2026-08-18 | Converted Value for 1 Don (3.75g) |
|---|---|---|
| Bank benchmark gold price | KRW 199,110.26/g | Approximately KRW 746,663 |
| Gold banking customer purchase price | KRW 201,101.36/g | Approximately KRW 754,130 |
| Gold banking customer selling price | KRW 197,119.16/g | Approximately KRW 739,197 |
| Purchase price for the dealer's own physical pure gold bar | KRW 871,000/3.75g | KRW 871,000 |
| Selling price for the dealer's own physical pure gold bar | KRW 735,000/3.75g | KRW 735,000 |
The bank gold prices converted into 1-don equivalents are the author's calculations. Each calculation uses `KRW/g × 3.75g`. KB Kookmin Bank states that it calculates 1 troy ounce as 31.1034768g and converts the international gold price and USD/KRW exchange rate at the time of the transaction into a won-denominated benchmark price per 1g.
Why Can 1 Don of Pure Gold Be Quoted in Both the KRW 740,000 and KRW 870,000 Ranges?
Neither figure is necessarily incorrect. They represent different transaction prices. KRW 746,663 is the value obtained by converting the benchmark gold price per 1g into 3.75g, while KRW 871,000 is the customer purchase price quoted by a gold dealer that day for 3.75g of physical pure gold.
On 2026-08-18, the International Standard Gold Exchange quoted KRW 871,000 when customers bought its own gold bars and KRW 735,000 when customers sold them. Other domestic pricing sources on the same day also showed purchase prices for 1 don of pure gold around 87 to KRW 875,000, confirming that physical gold prices are not identical to the underlying benchmark price of raw gold.
The difference between the bank benchmark price of KRW 746,663 and the physical pure gold purchase price of KRW 871,000 was approximately KRW 124,337. This was about 16.7% above the benchmark price, based on a direct calculation comparing the two figures.
Author's calculations:
KRW 871,000 - KRW 746,663 = approximately KRW 124,337
KRW 124,337 ÷ KRW 746,663 × 100 = approximately 16.7%
The entire 16.7% difference should not be attributed to a single tax or fee. Actual payment prices vary depending on the transaction method, product, and seller's terms. It is therefore more accurate to check the underlying benchmark gold price and the retail price of physical gold products separately.
How Large Is the Difference Between Buying and Selling Gold?
Physical pure gold has a substantial difference between buying and selling prices, even if both transactions are assumed to take place on the same day. Based on August 18 quotations for the International Standard Gold Exchange's own gold bars, the purchase price was KRW 871,000 and the selling price was KRW 735,000, producing a difference of KRW 136,000.
According to the author's calculation, the difference was approximately 15.6% of the purchase price of KRW 871,000.
KRW 871,000 - KRW 735,000 = KRW 136,000
KRW 136,000 ÷ KRW 871,000 × 100 = approximately 15.6%
By contrast, at the same time, KB gold banking quoted KRW 201,101.36/g when customers bought gold and KRW 197,119.16/g when they sold it. A simple conversion into 1 don gives approximately KRW 754,130 and KRW 739,197, respectively.
Physical gold bars and gold banking have different transaction structures, so a single figure cannot establish which option is always more advantageous. However, when considering short-term price movements, it is more important to check the gap between the price you actually pay and the price at which you can sell again than to focus solely on how much gold prices have risen.
How Far Have International Gold Prices Fallen From Their 2026 Peak?
International gold prices experienced substantial fluctuations during 2026. According to the World Gold Council's June data, spot gold reached an intraday high of USD 5,595.47 on January 29 and fell to an intraday low of USD 3,959.33 on June 24.
Using KB's international gold quotation of USD 4,387.08 at 11:49 p.m. on August 18 as a reference for understanding the broader trend, the price was approximately 21.6% below the January intraday peak and approximately 10.8% above the June intraday low. Because these are not comparisons of closing prices calculated using exactly the same timing and methodology, they should be treated as reference calculations for estimating the price's position within the year.
Author's calculations:
(4,387.08 ÷ 5,595.47 - 1) × 100 = approximately -21.6%
(4,387.08 ÷ 3,959.33 - 1) × 100 = approximately +10.8%
In other words, this is a period when it is difficult to conclude that current prices are at their peak simply because gold rose sharply earlier this year. It is equally difficult to conclude that gold has already become sufficiently cheap based solely on the June low.
Why International Gold Prices Alone Are Not Enough to Assess Korean Gold Rates
Domestic won-denominated benchmark gold prices reflect both international gold prices and the USD/KRW exchange rate. KB Kookmin Bank explicitly states that it uses international gold prices denominated in US dollars per troy ounce and applies the spot USD/KRW exchange rate to convert them into a won-denominated price per 1g of gold.
According to the published figures on the night of August 18, the international gold price was USD 4,387.08 and the USD/KRW exchange rate was KRW 1,411.65. Therefore, relying solely on an international gold price chart to assess domestic won-denominated prices can produce differences from the prices actually encountered in Korea.
Even if international gold prices remain at the same level, changes in the applicable exchange rate can alter the won-denominated benchmark price. Conversely, if international gold prices and exchange rates move in opposite directions, the magnitude of gold price movements in US dollars may differ from movements in Korean won.
Buying physical gold requires an additional step. After checking the won-denominated benchmark gold price, buyers should separately confirm the actual purchase and selling prices of 3.75g gold bars or other pure gold products.
Which Figures Should You Use When Checking Gold Prices Now?
If you want to purchase a pure gold ring or gold bar, check the physical gold price listed as 'price when I buy' for 3.75g. If you intend to sell pure gold you already own, check the same dealer's 'price when I sell.' For gold banking transactions, the appropriate figures are the bank's customer purchase and selling prices rather than quotations from physical gold dealers.
When evaluating gold price trends for investment purposes, it is better to compare international gold prices, the USD/KRW exchange rate, and domestic won-denominated benchmark prices at the same time. On days such as August 18, when international gold prices change frequently, the quotations published in a morning news article may differ from those displayed on an actual trading screen at night. KB Kookmin Bank also explains that it updates its published benchmark prices frequently in response to changes in gold prices and exchange rates.
In particular, seeing only a figure such as '1 don of pure gold today costs KRW 870,000' and assuming that the underlying raw gold itself is worth KRW 870,000 leads to a misleading comparison. On the night of August 18, the bank's won-denominated benchmark price converted into 1 don was approximately KRW 746,663, while physical gold purchase quotations were in the KRW 870,000 range. To compare figures meaningfully, you must first establish which type of gold price each figure represents.
What Factors Should Be Monitored in Future Gold Price Forecasts?
In its mid-2026 outlook, the World Gold Council analyzed several factors influencing gold price movements, including economic and geopolitical risks, interest rate conditions, exchange rate factors involving the US dollar, and investor momentum. The report also made clear that its analysis was based on scenarios assuming different macroeconomic conditions, rather than predictions that particular prices would necessarily materialize.
According to the World Gold Council's data as of June 26, gold experienced major price swings, rising above USD 5,500 intraday early in the year before falling below USD 4,000 toward the end of June. Given this degree of volatility, it would be inappropriate to treat a single forecast figure as a definitive signal to buy or sell.
For those tracking gold prices in Korea, it is more practical to consider not only international gold prices but also the USD/KRW exchange rate and price differences across actual trading methods. In particular, because the gap between buying and selling prices for physical pure gold was substantial as of August 18, the transaction price spread may sometimes be more important to a decision than short-term movements in the underlying gold price.
The figures from the night of 2026-08-18 can be summarized in one statement: The international gold price was USD 4,387.08 per troy ounce, and the bank's won-denominated benchmark price was KRW 199,110.26/g, equivalent to approximately KRW 746,663 when converted into 1 don. On the same day, the customer purchase price for 1 don of physical pure gold was quoted in the KRW 870,000 range. Therefore, the starting point for comparing gold prices is to align not only the date but also the time, unit, whether the quotation refers to physical gold, and whether it is a buying or selling price.