Gold Price Chart
How to Use a Gold Price Chart
Use U.S. Money Reserve’s gold price chart, courtesy of Gold Broker, to compare the price of gold over a specific period. The amount of time is up to you. You can review gold prices from 1980 to 2008, or over the last 5 days, 1 month, 1 year, 5 years, or 10 years.
A gold price chart can help you identify gold price trends and figure out when is the right time to buy gold for you. As market analysts are prone to say, “A trend is your friend!” But how do you identify a trend?
Start by looking for peaks and valleys in gold prices during the selected period. Do you see a pattern? You might notice a spike in gold prices in late November every four years (around the U.S. presidential election), or a dip when stock prices skyrocket. Identifying historical market trends doesn’t necessarily mean gold prices will perform the exact same way in the future, but trends and patterns could give you insight into what might happen and when you should act.
Understanding the Spot Price of Gold
To use this gold price chart, and many others, it’s important to understand gold spot prices. Note that the chart doesn’t track the price of gold coins or bars. Instead, it reports the spot price of gold, which is the market price at which gold is bought or sold for immediate payment and delivery. It’s the price you’d pay “on-the-spot.”
The spot price refers to the price for one troy ounce of gold and is typically quoted in U.S. dollars. A troy ounce is a standard unit of measurement for precious metals. One troy ounce is exactly 31.1034768 grams (1.097142857143 oz.), but you’ll often see gold prices listed as $/oz. without mentioning “troy.”
The spot price of gold does not account for any other costs associated with the design, manufacture, or sale of a gold coin or bar, including costs like shipping or insurance. Spot prices also do not take into account the demand for certain gold products and their numismatic value.
What Drives the Price of Gold?
The price of gold changes daily, as do the influencing price factors. Like most other assets, gold prices can shift for many different financial reasons. If you’re not tracking gold prices, changes in interest rates, inflation predictions, and stock market movements could all potentially catch you off guard.
A primary price driver is gold supply and demand, and accordingly, global income growth.
As global incomes increase, so can demand for gold jewelry and technology that includes gold, like smartphones, tablets, and computers. Income growth also encourages savings, which helps boost the demand for gold bullion coins and gold bars.
When demand is high and supply is limited, the purchase price of gold coins and bars tend to increase. It’s basic supply and demand.
The strength of the U.S. dollar can also influence gold prices. The two generally have an inverse relationship. A strong dollar can sometimes discourage gold buyers, as gold becomes more expensive to purchase. When the dollar is weak, gold is cheaper to purchase in other currencies.
Another recurring factor is geopolitical turbulence, like changes in European politics, tensions in the Middle East, and recurring risks in the Korean peninsula. Such international pressures can spur safe-haven buying and push gold prices higher.
Changes in the number of gold buyers can also impact gold prices. Transparency, efficiency, and policy changes are broadening access to gold buyers everywhere. Fewer barriers to buying gold can mean increased demand, and accordingly, increased gold prices.
Learn More About the Gold Price Today
There may never be a better time to start diversifying your assets with physical gold. Increases in global income, more serious geopolitical tensions, and fewer barriers to buying gold could all impact the gold price chart you see here.
Whether you’re looking to understand gold prices better before you buy gold, or you want to keep tabs on your current precious metals portfolio, our experienced Account Executives can help. Call 1-844-307-1589 to learn more about gold prices today and the gold products that may best fit your financial goals.