How Long Till We See Lower Gold Prices?

[ginger123]

Any experts have a sense of this? Gold's fallen from it's 2011 high of $1,900+ to 1,200-ish, but gold prices haven't!

 

[kat99]

If you are talking about from major branded designers like Tiffany, Cartier, etc, probably never except for perhaps corrections in specific geographies.

It has happened (very rarely) that big watch names have lowered prices on gold!

 

[panduhbear]

In Hong Kong the prices at jewellery stores seem to react very quickly to changes in price of gold and people go nuts when prices are low. Not sure if any North American stores are the same...

 

[Asscher]

If you're buying according to weight, the reaction is immediate. If you're referring to brand names, I doubt so but I hope I'm wrong.

 

[ginger123]

Thanks, ladies!

In terms of local jewelers, I suppose they have to move current inventory bought at old prices out. But I'm thinking it's a good time for custom work, if they order the castings grains in at current prices...

 

[beachy10]

I can't see branded stuff dropping in price but would think you could get a better deal on non-branded stuff.

 

[18KARAT]

It's going to take a while - we are a custom shop, so we build things based on todays price. So as our cost decrease, so to does our prices. But, if we were a jewellery shop - we would have inventory that we purchased when gold was higher. No ones going to take a loss on their inventory, so things will change at a slow pace, as old inventory is replaced by new.
But I wouldn't really expect prices to change all that much - what a jewellery store was losing towards high gold prices, they'll now put towards their markups. If Tiffany's was able to get $2000 for something, why would they decided to sell the same thing for less?

 

[ginger123]

That makes sense. Thankfully, the gold I want is bespoke, so I can find a good price locally, and I'm glad I didn't but at $1,900!

 

[stmary]

I bet Cartier, tiffany's and the like are buying gold like crazy now and with 2 price increase every year, they will only profit big time on this one. In the end the rich become richer....

 

[EpiFanatic]

I don't think you'll see gold going down, at least not in the long run. Its just a bit more stabilized now that the economy is not in such a slump. I've been following and in the past 5 years the trend has been up. If you look even longer, you will still see that prices have just gone up. I remember as a kid the price being $300ish per Troy ounce. (I'm old.). Here's to hoping. But many are buying now!!

 

[Elvawith]

Thanks, ladies!

In terms of local jewelers, I suppose they have to move current inventory bought at old prices out. But I'm thinking it's a good time for custom work, if they order the castings grains in at current prices...

I was just thinking about customs... I have a couple of stones I want set. Now might be the perfect time!