Gold Boom or Bust? (Or Both?).

Jewelers Circular Keystone, May, 2007

By Ben Janowski

Gold prices have been increasing steadily for five years, and many are worried that we're headed for serious problems. Here is what it may mean.

Everyone in our business has been aware of the rise in precious metals prices. In 2007, gold prices opened 50 percent higher than they were two years ago and 130 percent higher than just five years ago. While gold is particularly important in the jewelry business, all precious metals have seen serious increases. Even palladium, which became a new alternative white metal in the last couple of years, has seen sharp increases for two years after a long period of decline. (See Chart A, below.)

It would be easy, and wrong, to make comparisons with 1980, when last we had an explosive...

Read the rest of this article with a Free Trial at HighBeam Research.

Premium Content Partnership | HighBeam Research provides an in-depth online archive library of reference works.