Tuesday, April 1, 2008

The Price of Gold

To know where the price of gold is going, in terms of dollars, we need to know the fundamentals. Some people focus primarily on what the fundamentals of gold are, thinking it is all about the supply and demand of gold. Annual gold demand is estimated at 5000 tonnes and increasing, whereas mine supply is estimated at 2400 tonnes and declining. But above ground existing stocks of gold are as high as 150,000 tonnes!

Gold is not a commodity. The fundamental nature of gold is that Gold is money. So, to know gold or silver, we need to know about the fundamentals of money. Gold and silver have been chosen repeatedly throughout history as the choice for currency for more societies and cultures and over longer time periods than any other items. Those societies embracing gold and silver invariably have prospered under what is often called a golden age.

Cash4Gold.com believes in exchanging money for your unused, broken and unwanted gold and gold jewelry. If you are curious how much we will pay for your gold, visit our website to see how much we pay for gold.

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