Home - Finance - What Is A Spot Price Of Gold
...

What is a spot price of gold

Gold is a metal that is inert and malleable. Hence gold does not tarnish, and even the strongest acid does not affect gold. Although gold has many industrial uses, it has been used mainly for jewelry making and money. The price of gold is quoted in troy ounces and grams.

The spot price of gold is the standard used to gauge the rate of one ounce of gold. Bullion dealers are highly dependent on the spot gold prices as it helps them to determine the daily gold price of the gold bars and coins that they sell. The gold price is calculated in troy ounces and it not only changes daily but it changes every couple of seconds of the day during market hours.

What is a spot price of gold
The spot price of gold is driven by the currency values, current events, speculation in the market and many more factors. The internet has nowadays become a useful tool for investors to check the daily gold rates. The spot gold rates are normally quoted per troy ounce in US dollars; however, you can also get the price of the daily gold prices per gram or kg. Hence the spot rate of gold is nothing but the current rate at which gold can be exchanged or delivered.

Gold is one of the most popular metals that is traded all over the world.

The COMEX is the key exchange for determining the spot price of gold. The futures contract traded on the COMEX is the means by which the daily gold price is determined. The spot price is the existing price for one ounce of .999 fine gold that is available for delivery immediately. The spot gold price does not take into account the dealer or distributor price. The dealer also has to make a profit. Hence the spot gold price is marked up even further to accommodate the dealer price. This is why we witness dealers buying at a price lower than the spot gold price so that they can sell it.

Disclaimer:
The information available on this website is a compilation of research, available data, expert advice, and statistics. However, the information in the articles may vary depending on what specific individuals or financial institutions will have to offer. The information on the website may not remain relevant due to changing financial scenarios; and so, we would like to inform readers that we are not accountable for varying opinions or inaccuracies. The ideas and suggestions covered on the website are solely those of the website teams, and it is recommended that advice from a financial professional be considered before making any decisions.
Prev
Tips To Choose The Right Online Installment Loan Lender

Tips To Choose The Right Online Installment Loan Lender

Read More
Next
Cost of Medicare supplemental insurance plans for seniors

Cost of Medicare supplemental insurance plans for seniors

Read More