Has any else noticed the price of gold and all the metals are up and
not likely to come down. Being a small scale special order jeweller
and manufacturer, and paying close attention to how the gold market
I also look at what the local retailer are doing in price on what
they have in the cases and what the prices are in there mail outs of
what they are sell this season.
Knowing how to break down how much the material cost and what the
lob cost, I know when they bought their inventory. It was bought when
the market was at 800.00/oz, there hasn’t been much business to turn
it over this season.
At least here in Canada. So they haven’t had to re-order any new
stock. This is really great for the customers, not so good for me
because, the Jewellers think I’m out of my mind with prices I charge
because I’m current with the present gold market. The current price
per oz is 1200.00
The market went up because, India bought 200 metric tons of gold,
due to the fact that the US dollar has been replaced as the
international trade currency with a group of currencies and gold.
200 tons of gold, I’ve heard is one sixth of the world gold supply.
India is poised to do it again! Why, because they use it for paying
for things like oil.
The result is the after Christmas dip in gold isn’t going to happen,
rather it’s going up. The price of gold has affect silver and the
rest of the metals as well. Retail jewellers have been depending on
low labor rates from India and China to keep the prices the same on
the stock in the cases. Even China and India have to sell gold at
the current market value for the year and putting no labor the
inventory is going to prevent the prices sky rocketing.
The result of this is there is a plague of gold re-buyers that hit
North America, and the other is people are bringing in gold to have
it made into new items. I specialize in this, so, it’s good for me.
In Summery, I would say that next quarter will be livable, but the
second quarter of 2010 is going to see a cascade of jewellery store
Am I way off base here? What do you think?
Alpine Custom Jewellers & Repair