The Topsy-Turvy Price of Gold

The rise in the price of gold over the past few years is almost unbelievable.  If you look at a graph that charts the price of gold over the last 10 years you can see a meteoric rise in the gold price.

In 2002, one troy ounce of gold would sell for around US$300.  Apart from a sharp downturn around 2008 when the financial crisis first hit, the rise in the price of gold has been fast and consistent.

Gold is now trading at over US$1700 per troy ounce.

Silver has also mirrored the rise in the price of gold over the past decade.  2002 saw the price of silver hovering around US$5 per ounce.  Nowadays the price of silver is well over US$30 per troy ounce.

It’s the perfect time to sell your gold and silver to EzyCash Gold Buyers in Panmure, Auckland.  You’ll receive an expert valuation of your gold and silver and a top cash price.

Broken and unwanted gold jewellery or silver jewellery, scrap gold or scrap silver – bring it into EzyCash Gold Buyers now and take advantage of the high prices of gold and silver.

To keep track of the price of gold go to gold-price.co.nz because while the gold price remains very high, that doesn’t mean it’s immune to fluctuations.

In January of this year, the price of gold was pushing US$1900 per troy ounce.  And the week ending March 4^th was the worst week for gold since December, with the price settling over US$12 per troy ounce lower.

There are numerous factors affecting the price of gold.  There is often a link between the value of the US dollar and the gold price.  That is, when one goes up, the other goes down.  In recent days, the outlook for the US GDP looks slightly more positive which has had an affect on the price of gold.

Other factors include:

Personal demand – jewellery takes up two-thirds of the world gold production.  As the world population grows and emerging economies (such asBrazilandChina) breed wealthier citizens, the demand for gold jewellery grows.

Central banks – countries hold around 16% of the world’s gold.  They can affect the gold price depending on how much gold they buy and sell (although under a world-wide agreement, countries are only allowed to sell 500 tonnes of gold each year).

Investors – gold is used by investors as a hedge fund against inflation.  As currencies like the Euro continue to be hit by the financial crisis, investors see gold as more reliable investment.

If you’ve invested in gold or have unwanted gold jewellery, broken gold or scrap gold that you are looking to sell, go to EzyCash Gold Buyers in Panmure, Auckland.