Changes in the Prices of 585 Gold: How does this happen?

Gold jewelry is often sold or pawned nowadays as the value of gold continuously increases. Pawnshops vary in their gold appraisals and of course, those with the highest appraisals get more clients. Compared with the price of gold 10 or 15 years before, its value has greatly increased to the point where it has doubled or tripled now. But how do these changes in the price of gold happen? This article intends to help you discover just that.
Gold and inflation
To be able to understand the changes happening to the prices of gold, you also need to know a little about economics. Inflation is defined as the rate of change in the general price level of commodities, and this is greatly influenced by the law of supply and demand. When the supply and demand for gold rapidly changes, there will be a sudden increase or decrease in its price. If you have noticed, the supply of gold in the past decades is quite abundant. As a result, the price of gold before was affordable to many. But as years passed, gold became scarce as more people wanted to acquire it. The price understandably increased because of scarcity. But nowadays, the London Gold Pool sets the price of gold twice a day to regulate these changes. The prices, also known as spot price of gold, are often in US dollars or Euros.
Gold content
The gold content in jewelry is measured in Troy ounces. But for easier understanding of these measurements, people are now using the markings on the jewelry. Gold can be stamped with the numbers 750, 417, or 585 to determine the amount of gold contained within. In the United States, it has its equivalents in Karats – 24K, 12K, 14K, etc.
Do your research
Whether you are planning to sell scrap gold, 585 gold jewelry or buy some, it is advisable that you do your research first. Try to understand the condition of the market to determine the price of gold. You can also check websites that buy and sell scrap gold to see if there are many potential buyers. If there are, check the daily rates of gold in the newspaper and online. You can make use of the online gold calculators to get more reliable results. Most of all, you must know the amount of gold in your jewelry before you sell it to anybody. You could lose a very valuable possession for a few dollars if you’re not careful.

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