Parting with your gold is hard enough without worrying about if it’s the right time to sell it.
Does the value of gold change? Do you benefit the most from selling it now or should it be saved for a rainy day? Whether you have a few gold coins or a couple pieces of jewelry, you’ll want to try to get the best exchange rate you can.
Here’s how to know.
The Value of Gold
Gold is a precious resource used in all sorts of things, from jewelry to medical implants to electronics, making it a well sought after metal. Because of this, the price of gold stays relatively stable. The market for gold will rarely “crash,” so it’s a safe investment against non-backed currency.
In the United States, we don’t have gold or silver backed currency, meaning that the value of the dollar is at more risk of inflation and depreciation in the global economy. People that are worried about such things are likely to invest in gold as a safety net, in the case of an economic downslide or crash.
Fluctuations in Gold Prices
The price of gold is against a whole bullion, or about 27.4 pounds.
As of September 8th, 2019, the price of gold comes in at $1,508.59. Most people selling gold aren’t selling whole bullions, so the few dollars of change in the price on a day to day basis isn’t going to make a huge impact.
You’ll mainly want to keep an eye out for major dips in the value, ranging in the hundreds. Keep an eye on the price of gold on websites like JM Bullion, which keep track of the daily values of bullions, not just gold!
When You’ll Need to Cash Gold
Economic downturns with high inflation on the dollar are the best time to cash in your gold, but it’s not the only time.
Even if the national or global economy is doing well, that doesn’t always mean you wouldn’t benefit from selling gold to get you through a rough time or to invest it in something else -maybe a once in a lifetime opportunity.
This also depends on how you came across your gold. Not everyone that trades their gold for cash bought gold coins to invest against economic downturns. Most people simply have gold jewelry or watches they no longer use, or the value of the piece is more important than having it anymore.
Regardless, it may sometimes be better to hold out for a better price, if you’re not in dire need of emergency funds.
How Will You Know It’s the Right Time?
It’s rare you’ll ever find a time in which you’re absolutely sure that “now” is the objectively best time to sell your gold.
Cashing in any investment or selling your personal items is always going to be a risk. Your best shot is to watch the price of gold and hope you’re able to sell at a peak price, when you need the cash the most.