Freehold, New Jersey
3710 U.S. 9
Freehold, NJ 07728
732-618-9292

Gold Buying & Why the Price Fluctuates November 16, 2017

Freehold, Monmouth County
Gold Buying & Why the Price Fluctuates, Freehold, New Jersey

Are you considering gold buying for the first time? If so, you might have noticed the price fluctuating every now and then. Gold is highly valued and is a worldwide symbol of wealth, which is why many central banks still hold it as a reserve. How much gold is worth, however, can vary at any given time.

Here are a couple of factors that can influence gold buying prices:   

  • Supply & Demand: The price of gold is impacted by production costs and the demand. The World Gold Council estimates the total above-ground gold stocks to date are 187,200 tons. The supply grows approximately 2,500 to 3,000 tons each year while the demand is currently at 953.4 tons and rising. If there isn’t enough gold to satisfy the demand, prices will rise.

  • Jewelrygold buying Industry: Gold is a crucial element in the jewelry industry, which accounts for 47.6% of the total above-ground stocks of this precious commodity. Countries like India are key drivers of jewelry growth, with the biggest demand at 26%, followed by China and the U.S. The more gold used specifically to make jewelry, the higher its value becomes.

  • Currency Devaluation: The devaluation of currency has an immense effect on gold prices. It has two main causes: cost push and demand pull. The first occurs when the dollar loses its value, causing gold and other commodities to increase in price. Demand-pull inflation happens when manufacturers reach their maximum production limit. The theory is, when demand pull happens, banks and governments will stockpile gold to combat inflation, which will cause gold prices to increase.

 

If you want to consult an expert in gold buying, head down to your local American Coins & Gold retailer. This shop can turn your unused or unwanted gold, estate jewelry, rare coins, and more into fast cash. Visit their website today or call these numbers for more information: (908) 575-9400 for Bridgewater, NJ; (201) 628-4800 for Wayne, NJ; and (516) 742-0900 for Carle Place, NY.

Other Announcements, Events and Deals from American Coins & Gold
Rare Coin Of The Week *Over $1,000?!*, Freehold, New Jersey
American Coins & Gold rare coin pick of the week goes to: The 1955 Double Die Lincoln Penny! This penny is one of the most widely spread error coins the US Mint has ever c...read more
A Quick Guide to Cleaning Old & Rare Coins, Freehold, New Jersey
You might think an old coin will be worth more if it’s shiny and crisp, with no residue or evidence of corrosion. However, using metal polishers, dips, or any other chemicals on rare...read more
Silver Coins Vs. Sterling Silver *What's The Difference*, Freehold, New Jersey
Many people get confused when trying to determine the difference between what sterling silver is vs. what silver coins are made of.  Before you decide to sell or even give away ...read more
Top 5 Most Valuable Coins, Freehold, New Jersey
#1 – Sacagawea Dollar / Washington Dollar (no date) Only 14 of these are known to exist and have been sold in auction for over $100,000!  Many companies make a novelty of ...read more
Pennies Worth Over $100,000! *How To Check If Your Have One, Freehold, New Jersey
It might sound unbelievable that old coins such as 1943 pennies can be worth over $100,000, but it is a true fact. One example of rare and valuable coins is 1943 penny.  D...read more