Now is probably one of the best times to dig out your old, broken and unwanted pieces of gold and convert them into cash, because gold prices have been steadily rising – and it doesn't look like they’ll be heading in the opposite direction for some time.
The gold price soared during the recession because big investors tend to consider the precious metal a safe place to park their cash when things are uncertain. However, when the economic recovery started to gather pace, investors looked around for the better returns that come from more risky investments and took their money out of gold. As a result, the gold price – and the amount you receive for your unwanted gold – plummeted.
But so far this year, we’re seen a big turnaround. The price of gold in the first three months of 2016 has rocketed, due to a combination of worldwide factors. Fears about the international economy and the threat of terrorism have sent investors looking for the ‘safe haven’ of gold again, and as a result, the price has recovered.
Figures from the World Gold Council show that the price of gold increased by 17 per cent in the first quarter of this year – that’s its best performance in almost 30 years. Although the price you’ll receive in return for you scrap gold hasn’t quite hit the heights we saw during the recession, many market analysts expect the gold price to continue rising. They say we’re in a ‘bull market’ for the precious metal, and depending on what happens on the world stage, the price could continue in its upwards direction.
The gold price changes minute by minute depending on trading around the world, and of course it does go down as well as up.
But if you’ve been having a spring clean or sort out, it’s a great time to find out what your unwanted or broken pieces are worth.