When you’re investing in precious metals, making judgments about the best times to buy and sell makes all the difference. There are many factors that come together to impact pricing. As you learn to navigate the precious metals market, keep an eye on the following factors to help gauge price direction.
Supply and Demand
Supply and demand is at the root of pricing for most commodities and services, and precious metals are no different. Trading in metals occurs on and off exchanges throughout the day and night, and the supply of and demand for a given precious metal on any day will drive the price upwards or downwards. What exactly influences demand varies between metals. Gold pricing is particularly influenced by buyers’ moods. During times of political upheaval and economic crises, people turn to gold, causing the demand—and the price—to rise. Silver and platinum prices don’t tend to respond the same way to these intangible factors.
London Fixings
The London fixings are auction markets for precious metals that use successive trials to determine a balanced single price for spot purchases. The fixings prices are used by dealers, mining companies, refineries, and fabricators in contracts. Prices are fixed twice daily. Each precious metal has its own set fixing times.
Dealer Pricing
As bullion dealers and banks buy and sell precious metals throughout the day, their prices are published online. These real-time prices set the standards for spot trades throughout the course of each day.
When you buy precious metals from California Numismatic Investments, you can always feel confident about our prices, because we guarantee the best price every time. Take advantage of our 30 years of trade experience and find out more about entering the precious metals market by calling us today at (800) 225-7531.