Price of gold jewelry fluctuates based on gold prices on the world market. Gold prices are tumbling and many expect it to go down further. This should be good news for those who love gold jewelry. One caveat though; sometimes the piece you love may not reflect the worldwide gold prices. This is partly due to workmanship, adding other metals and many others.
An ounce of gold cost around $1,095 these days. A survey conducted by Bloomberg of analysts who are dealing with the metal indicates that it could hit $984 at the year’s end. Analysts at Bank of America expect it to be around $1,000 at the year’s end.
Even with increased demand from China and India for the metal as well as pieces made of it, prices are trending downwards. Some think the metal is becoming out of favor regardless of demand for gold jewelry from those countries. Some believe that the price pressure is caused by widely believed and expected interest rate hikes in the US and strengthening value of the US dollar. No matter what tumbling metal prices in some way get trickled down to gold pieces and it should be good news for consumers.