Gold Spot Price

What's Driving Gold This Month?

Jordan McCaleb, Founder of Goldpedia says:

"Gold is undergoing a healthy technical correction following its historic surge past the $4,000 milestone, driven largely by short-term profit-taking after the recent record high. However, the foundational bull case remains firmly intact. Prices are underpinned by continued weakness in the U.S. Dollar Index and firm market expectations for further Fed rate cuts before year-end, lowering the opportunity cost of holding non-yielding bullion.

Critically, strategic accumulation by global central banks, particularly in China, is accelerating amid lingering U.S.-China trade friction and fiscal risk (US debt/tariffs). This institutional flight from dollar dependency provides a powerful, structural floor beneath the Gold price, ensuring any short-term selling is met by long-term strategic buying pressure."

Gold Top Stories

Gold to Silver Ratio

How to Calculate the Gold to Silver Ratio:

The Gold/Silver Ratio measures how many ounces of silver it takes to buy one ounce of gold. Ex: $4,000/$48 = 83.33 oz of silver. Investors track this to determine which is undervalued.

Historical Average: 65:1

Crisis Peak (2020): 125:1

Gold Price Conversions

Gold Conversions and Long-Term Gains

Gold Price Chart FAQ

What's the Spot Price of Gold and how is it determined?

The Spot Price is the consensus price for one troy ounce of 99.9% pure gold available for immediate delivery. It is primarily set by continuous trading on the Over-The-Counter (OTC) market and the most active Gold Futures contracts on exchanges like COMEX.

Why can't I buy physical Gold bullion at the Spot Price?

Physical gold products are never sold at the exact Spot Price because the final cost includes a premium. This premium covers the cost of refining (turning raw metal into 99.9% pure bullion), fabrication (minting the coin or bar), and dealer operating costs (storage, shipping, and insurance).

What is the Gold/Silver Ratio and why does it matter to investors?

The Gold to Silver Ratio measures how many ounces of silver it takes to buy one ounce of gold (Gold Price divided by Silver Price). Investors track this ratio to determine the relative value of the two metals; a high ratio often suggests that silver is undervalued compared to gold.

How does the U.S. Dollar Index (DXY) directly affect the price of gold?

Gold and the DXY typically exhibit an inverse relationship. Since gold is priced globally in U.S. dollars, a weakening dollar makes dollar-denominated Gold cheaper for foreign buyers, which increases demand and generally pushes the price of gold higher.

Does owning physical gold provide better protection than gold ETFs (GLD)?

Yes, for ultimate security. Physical gold eliminates counterparty risk (the risk that the bank or custodian fails), providing a true safe haven outside the financial system. ETFs are liquid but carry a small layer of fund and custodian risk.

Is Gold a reliable hedge against inflation over various time periods?

Gold's role as an inflation hedge is proven over the long term (decades), as it preserves purchasing power against currency devaluation. However, in the short term, gold prices are often more immediately influenced by real interest rate expectations and geopolitical uncertainty, making it a volatile and sometimes unreliable short-term inflation hedge.