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10/27/2023 9:30 AM     Current Market Spot Prices:     Gold:  $1,984.26/ozt   Silver:  $22.89/ozt   Platinum:  $926.20/ozt   Palladium:  $1,168.05/ozt  

Friday, September 30, 2011

The Karat

Everyone has heard the term karat but few know the meaning or the original of the word. In the gold industry, karats is used to describe the purity of the gold used to make the piece. The word dates back to ancient Mediterranean and Middle Eastern civilizations that used carob seeds to measure the weight of gold.

The word carat is derived from the Greek word kerátion , which means “fruit of the carob.” Carob seeds were used as weights on precision scales because of their reputation for having a uniform weight. The other reason for the seeds use was that it was in order to keep regional buyers and sellers of gold honest, potential customers could retrieve their own carob seeds on their way to the market, to check the tolerances of the seeds used by the merchant. If this precaution was not taken, the potential customers would be at the mercy of "2 sets of carob seeds". One set of "heavier" carob seeds would be used when buying from a customer (making the seller's gold appear to be less). Another, lighter set of carob seeds would be used when the merchant wanted to sell to a customer.

As the softest metal in existence, pure gold is not the best for creating jewelry. Because of its softnesss. gold is often strengthened with zinc, copper, or silver. Rarely is pure gold used in the manufacturing of jewelry and the karat system is used to determine the concentration of its content.  

Most gold jewelry in the U.S. is 10, 14, or 18k. A piece that is 18k is 75 percent pure gold, making it the most valuable of the three. Even when pieces have equal weight, the item with the higher number of karats will be more valuable. An 18k gold item will contain more yellow in the colored tint. Though 14k is more popular in the U.S., 18k gold is purchased by most European consumers.

Just because jewelry is stamped 18K does not mean it is. Laws vary between countries in terms of ensuring that these stamps are accurate. The U.S. is just one country that may not pursue a manufacturer for using a misleading stamp. Some countries mandate that gold purity be verified by a third party before a piece of jewelry may be stamped.

Those who buy gold coins are familiar with 24k gold because it is often used to make modern bullion coins. However, since it is often too soft for jewelry-making purposes, 18k is usually the highest number found on jewelry, though 22k is also available.
Posted by Caitlyn Diamond at 8:18 AM 0 Comments

Thursday, September 29, 2011

Scams & Predators

If you’re like us, you’re surprised these Cash-For-Gold scams and predators are still around considering the options available today. At KMG Gold, we're determined to educate the consumer so they can make the wisest decision possible.

Walking around the corner to sell gold coins and used jewelry for cash seems may seem appealing to some, it is definitely not the best idea. Businesses that provide cash for gold pay pennies on the true value of gold.

If individuals absolutely must sell their gold items for cash, they should be aware that the price of gold is only a small factor in the offer price provided by the Cash-For-Gold groups. A person may make a profit on a piece of jewelry or a coin purchased ten years ago just because the item is worth more than what was paid for it. The buyer in turn makes their money by reselling the item to a refinery. You have the option of dealing directly with the refiner hence cutting out the middleman.

Jewelry stores significantly mark up the price of gold items so they can make a profit. When a piece of gold jewelry is traded for cash, the offer received is not based on what the item is worth in metal value, it is based on how the store will use the item. If the gold piece is sent off somewhere to be melted, the store will receive the value is based on the melt weight.

With the high price of gold, it pays to be informed about the industry and the different transactions available. The more you know, the money may end up in your pocket and not theirs.
Posted by Caitlyn Diamond at 11:45 AM 0 Comments

Wednesday, September 28, 2011

Gold Futures Gain

Gold futures gained the most in seven weeks as commodities and equities rallied amid optimism that European leaders will take steps to resolve the region's debt crisis.

The Standard & Poor's GSCI index of 24 raw materials surged as much as 3.6 percent, while the MSCI All-Country World Index jumped as much as 4 percent. In the previous three sessions, gold tumbled 12 percent, the most since 1983, on sales by investors to cover losses in other markets amid mounting concern that the global economy would slump.

"Gold is behaving like a classic commodity and is moving in tandem with the equity market," Adam Klopfenstein, a senior market strategist at MF Global Holdings Inc. in Chicago, said in a recently published interview. "The selloff was overdone."

Gold futures for December delivery gained $57.70, or 3.6 percent, to settle at $1,652.50 an ounce at 1:33 p.m. on the Comex in New York, rising the most since Aug. 8. Yesterday, the metal tumbled as much as $104.80 to $1,535, the lowest since July 8.

The precious metal has gained 16 percent this year, surging to a record $1,923.70 on Sept. 6.

"There is a small but growing group who believe this pullback will prove to be a good buying opportunity," Edel Tully, a London-based analyst at UBS AG, said in a report. "Gold needs to stabilize after suffering a good deal of reputational damage with recent wild moves."

Silver futures for December delivery advanced $1.56, or 5.2 percent, to $31.536 an ounce, the biggest gain since July 13. In the previous three sessions, the price tumbled 26 percent, touching a 10-month low of $26.15.
Posted by Caitlyn Diamond at 5:26 AM 0 Comments

Tuesday, September 27, 2011

Why The Drop?

There has been a lot of turmoil in the financial markets in the markets these days, but if there’s one investment that should be going up according to the experts, it’s gold. 

Gold has always been charged as the ultimate investment because it has been a "store of value." But the majority of the experts agree that gold is bound to keep going up as volatility rises, the gold bugs pronounce.

But the question floating around the investment atmosphere is, “Now that markets are struggling, why is gold on a slide?”

Several economists and market watchers seem to the answer. The word on the street is that people prefer to be holding cash as panic spreads across Europe. To get cash, they need to sell their investments including their gold holdings. If we go back to simple supply and demand concepts that explains the temporary price drop on gold.

“It shows you that at times of extreme stress, there is not a suitable substitute to liquidity and although gold is liquid by metal standards, in comparison to Treasurys, when you get this kind of flight to cash, then it really is cash that counts and that means U.S. dollars,” Credit Suisse analyst Tom Kendall said in a recent interview..

His point is quite valid, but he fails to mention any profit-making these investors may have cashed in on. It has been well documented that in recent years gold has been traded as an investment opportunity, rather than a store of value. So while investors were buying into the long-term strategy, big hedge funds and commodity traders were simply waiting for gold to hit a breaking point, just as they waited for metals such as silver to hit a breaking point back in April. As soon as one fund starts to sell, many more do.

It’s situations like this that prove, yet again, that gold is a safe bet. The current market situation demonstrates why some people keep buying and selling the precious metal over the long term. To make the most of any investment strategy you have to understand how or why the value moves.
Posted by Caitlyn Diamond at 8:57 AM 0 Comments

Monday, September 26, 2011

Gold Is A Victim Of Its Own Success

The price of gold was down again on Monday as investors traded the metal for the perceived safety of cash. "Essentially gold is a victim of its own success," said Edel Tully, a precious-metals strategist at UBS in London.

The price of spot gold fell to its lowest in two and a half months, and is now down 9% from the record high of $1,920.94 a troy ounce that it notched on Sept. 6. The price of spot gold was recently at $1,615.0/oz, down 2.4% from its close in New York on Friday.

“It’s a good time to sell,” said Michael Gupton of KMG Gold in Winnipeg. “It always is if you apply my Dollar Averaging concept,” Gupton explained referring to his upcoming publication, As Good As Gold.

Analysts said gold is suffering at the hands of investors who are cashing in on gold's recent bull run to shore up their books and cover losses elsewhere. Gold was one of the main beneficiaries during the turbulence in financial markets this summer and the growing aversion among investors toward risky investments.

Mr. Gupton added that the extent of the selloff was not surprising, and reflected the strong demand for cash amid a strengthening dollar. “Gold is a safe alternative and this action just proves my point.”

The price of silver was recently down 7.7% at $28.56/oz. It had earlier traded as low as $26.100/oz.

The price of spot platinum was 3.8% lower at $1,543.70/oz, while the price of spot palladium was down 1% at $625.50/oz.

Posted by Caitlyn Diamond at 8:01 AM 0 Comments

Sunday, September 25, 2011

Gold Vending Machines?

China has installed the country’s first gold vending machine in a busy shopping district in Beijing. Largest Gold producer and second largest to India in consuming, China becomes the sixth nation to open a gold vending machine for its people.

Gold vending machines are now operating in the US, UAE, Germany, Spain and Italy. According to reports, China is set to open vending machines, made by the same German company TG Gold Super Market that supplied machines to other countries.

Shoppers in the popular Wangfujing Street can insert cash or use a bank card to withdraw gold bars or coins of various weights based on market prices. The machine was launched Saturday by the Beijing Agricultural Commercial Bank and a gold trading company, the report said.

The machines will dispense gold bars weighing up to 2.5 kilograms and work just like the normal automatic teller machines (ATMs), reported, and citing sources close to the matter.

The machines can accept both cash and credit cards. The cash-for-gold machines will be on trial at Beijing’s upscale clubs and private banks during the initial period for security reasons. They plan to install an unspecified number of machines in secure locations such as gold shops and up market private clubs.

Gold is often used as a hedge against inflation and the machines could prove popular among Chinese consumers looking for a convenient way to safeguard their cash amid rising prices.

Chinese consumer demand for gold soared 27% year-on-year to 579.5 tonnes in 2010, according to the World Gold Council. India, the world’s top consumer, saw a 66% increase to 963.1 tonnes.
Posted by Caitlyn Diamond at 4:23 PM 0 Comments

Saturday, September 24, 2011

Ethics In The Gold Industry

One of the most important traits which is argued about and discussed in the gold industry is ethics. What’s more is that it’s on the pillars and basis of ethics that the gold industry is dependent. It has been witnessed that most gold dealings are conducted dishonestly. It is a very common activity of people to amalgamate gold with other substances. Therefore, a particular set of ethics have to be followed by gold dealers for avoiding different problems.

It is vital that the individuals which are being served should be offered complete dedication by all members of the gold industry. From the client’s point of view, it becomes a very constructive and faith building activity. There are several dealers in the industry which are dishonest so people do not know how to find an honest gold buyer. Even if a single member of the industry is dishonest, the reputation of the entire industry goes down the drain. In fact, if this happens, people will never revert to the same dealer if he is dishonest.

When dealing with the shareholders of the gold mining company, ethics again play a very important role. If there is even a small inkling that the company is conducting fraudulent activities, the government will have to interfere. The credibility and the reputation of the company will be destroyed in the occurrence of a scam. It is vital to lay importance of ethics in the event of a company wishing to carry out expansion.
In case of inter business dealings, ethics are also crucial. This is because if any competitor gets even a minor hint of any fraudulent activities, they will destroy the reputation of the company by disclosing the matter to higher authorities. In this case, legal action can also be taken by a company. In this manner, both the shareholders and the public will lose their trust in the company. Hence, business ethics should be followed in order to avoid such a situation.

The backbone of a company is its employees. Without the contribution of the employees, the company will cease to exist. Business ethics play a very vital role in the benefit of not only the company as a whole but also the employees because it leads to more productivity. In addition, the employees will work harder and with more dedication for achieving their aims in target as their confidence will be boosted.

KMG Gold Recycling which is a precious metal refinery in Canada is a perfect example of business ethics. It complies with all rules and regulations and work to maintain the faith and trust which people have placed in them. All business ethics are followed by it.
Posted by Caitlyn Diamond at 8:09 AM 0 Comments

Friday, September 23, 2011

Crucial Steps In Buying Gold

The world economic scenario has undergone a lot of turbulence and uncertainty in the past few decades. Therefore, it is a secure alternative to make long term investments. The retirement accounts are decreasing, the stock exchange is also subject to huge fluctuations and the value of all currencies is on a decline. Gold has become a prized investment in such these circumstances. Gold has emerged as a winner because it has been able to withstand all the lashes of recession. Apart from being used in ornaments, gold also possesses immense historical value and importance. What’s more is that by buying gold at a lower price and selling it at a higher price, one can make money.

To ensure that gold proves to be a secure and reliable investment, people should understand some simple steps to buy gold. To gain a full understanding of the ins and outs of the market, people should thoroughly analyze the gold market. If one wants to know the potential value of gold holdings, people should understand the value of the metal and have complete knowledge of its historical relevance. Moreover, people should be aware that gold investment is not restricted to one specific option. People can buy metal futures, certificates, stocks of mining companies, wafers, physical bars and coins and mutual funds of precious metals amongst others.

Before settling on one form of investment, people should have a thorough understanding of the gold industry. In addition, the mode of investment which is selected should enable people to make money and should also be within means. Those investors should look for gold coins that have a limited allocation. Not only these coins have immense historical value, but are easy to transport and convenient to store and hold.

Finding a reliable gold dealer is the next step which has to be followed. It is essential to find a dealer who is honest, trustworthy and follows all business ethics from the ones which are available locally as well as online. All Canadian cities like Toronto, Calgary, Kamloops, Vancouver, Winnipeg, Victoria etc have their own gold dealers.
There are several gold dealers located in each city. It can be seen that people can save on the transportation and shipping costs can be saved if one opts to use a local dealer. On several occasions, people can gain confidence by investing in smaller items.

People can choose any gold refinery in Canada for confirming gold authenticity of gold with the help of gold assay services. KMG Gold Recycling is a suitable choice when looking for a precious metal refinery in Canada. People can make a decision once the refinery has analyzed the gold. KMG would be the ideal choice as it conducts all its transactions with honesty. 
Posted by Caitlyn Diamond at 7:56 AM 0 Comments

Thursday, September 22, 2011

Silver Sales Rise 30%

The Royal Canadian Mint is on track to raise sales of its silver bullion coins by around 30 percent to 25 million ounces this year and to match last year's record gold sales of around 1 million ounces, an executive from the Mint said.
Speaking on the sidelines of the London Bullion Market Association annual conference, John Moore, executive director of bullion and refinery services at the Mint, told Reuters investors believed silver had more room to rise than gold.
"In terms of our sales this year, year to date we're tracking to the same volumes as we had last year in gold, which were record volumes for us. heading toward a million ounces," he said.
"In silver, we are 30 percent ahead of where we were last year," he said. "We finished last year with 18 million ounces of silver (sales). We are looking at increasing those sales by about 30 percent to the end of this year, to around 25 million ounces."
While silver sales have been strong, very few scrap coins are being returned to the market despite a rally in silver prices to record highs near $50 an ounce in late April.
The metal dropped sharply from that high, however, falling by around a third in just six sessions after its record high, unsettling some investors.
"Analysts are still calling for silver to follow gold and go back up to $50," Moore said. "If you believe gold is going to $2,000, you will probably believe that silver will follow it and go to $50."

Posted by Caitlyn Diamond at 1:06 AM 0 Comments

Wednesday, September 21, 2011

Gold's Storage Wars

Gold climbed to a record $1,921.15 an ounce on Sept. 6. Prices more than doubled since the end of 2007 as stock markets slumped, economies contracted and central banks and governments pumped more than $2 trillion into the global financial system. It all sounds perfect but there are issues involved.

Deep in the 7.4-acre Singapore Freeport next to Changi International Airport’s runways is the bullion vault of Swiss Precious Metals, behind seven-metric-ton steel doors built to survive a plane crash or earthquake.

The rooms are almost full after demand rose fivefold in the year since the Geneva-based company opened the facility. The firm is planning on an expansion to cope with the surge of investors willing to pay as much as 1 percent of the value of their holdings each year to keep them secure.

“The European debt crisis and its impact on the solvency of European financial players are driving European customers to find safe investment opportunities like physical gold and other precious metals,” a representative said. 

Barclays Capital is building a new vault, The Brink’s Co.and Deutsche Bank may add more space to there facilities, and the Perth Mint may expand for the first time since 2003. It’s a sign they expect demand to keep increasing after the 11-year rally during which prices increased sevenfold. Investors in exchange-traded products backed by gold bought 2,198 tons of bullion since 2003, exceeding all except four countries’ official stockpiles.

Gold rose 28 percent to $1,813.15 this year. The metal will exceed $2,000 this year, according to the average estimate of 16 respondents in a Bloomberg survey at the London Bullion Market Association’s conference in Montreal. The metal will peak at $2,268 next year, the survey showed.

Storage companies are responding. The 112-year-old Perth Mint, which refines more than 8 percent of all supply and is owned by the Western Australian state government, may add a new vault within the next year, according to Treasurer Nigel Moffatt. The mint sells everything from gold coins to 400-ounce (12.4-kilogram) bars.

Brink’s, the largest bullion carrier in the U.K., is considering adding more storage after opening a new London vault earlier this year. Barclays, based in London, is building a vault in the city that will open next year, the bank said in a statement last week.
“With gold prices where they are, we encourage people to keep it in safety-deposit boxes at banks or vaults, which gives that sense of security,” said Scott Carter, chief executive officer of Goldline International Inc., a Santa Monica, California-based precious-metals retailer established a half-century ago.

“Many vaults are hitting the insurance limit as prices of gold have surged and even if space is available, the full replacement insurance may not be available,” said Savneet Singh, the CEO of New-York based Gold Bullion International, which offers precious-metals storage to wealthy individuals, hedge funds and financial institutions. “The smaller customers are already getting squeezed.”

Posted by Caitlyn Diamond at 7:25 AM 0 Comments

Tuesday, September 20, 2011

Jeweller's Scale

Jewellers scale are a must have for people who deal in precious metal items. Such items include diamonds, semi-precious stones, silver and gold.

What Is A Jewellers Scale?
This is a weighing machine that can measure very minute objects. The scales are digital and are available in stores that stock jewellery and precious metals. Resellers are also popular users of these scales. They weigh carats either for gold or diamond, and help in determining the value of the underlying precious metal.

How Gold Is Weighed
Currently, gold is weighed as:
1 ounce           -     31.1 grams
1 kilogram      -     32.2  ounces

One buying a scale must be careful so as to get the best scale. Reputable makers of these scales have evenly distributed their products in the market. There are some guidelines that can help a buyer know exactly what to look for in a scale. These are mainly requirements that have been set by the industry in regard to the ideal scales. These are:
a)Digital display
A jewellers’ scale must have a digital display that gives accurate measurements. The scales are convenient because they give quick results, in seconds! Whether a person is  seeking to buy or to sell precious metal items, a jewellers scale offers more efficiency than other weighing methods. Accurate measurements lead to accurate transactions which are necessary for business efficiency.
b)Source of power
Jewellers scale are very convenient for use. For people who are always on the move, battery run scales are available. They are also portable hence ideal  for field studies.

Uses Of Jewellers Scales
Though the word  jewellery is used in its name, jewellers scale can be used by just about anyone. Insurance firms use them use them to ascertain the inherent values of items such as rings, bracelets, gold items and other precious metal items. They do these tests so as to determine the amount of insurance cover that is payable for the precious metal items.

Auction houses also have these scales for establishing the values of items from diamonds, silver, gold or semi-precious metals.

Individuals are also users of these scales. They use them to determine the value of the jewellery they buy. It is important to know that the item one is buying is genuine and that the value stated is indeed the true value.

Modern systems weigh gold in grams though the price of gold is quoted in ounces. Knowing the ounce equivalents of these grams helps an individual get the correct price for gold items.

Therefore, one should invest in a jewellers scale that is properly calibrated as this is the first step to determinig the true value of a precious metal item. Consider your options carefully!

Posted by Caitlyn Diamond at 8:21 AM 0 Comments

Monday, September 19, 2011

Most Money for Gold at the Refinery

Earning top dollar for a stash of scrap gold begins by selling directly to the refinery. The biggest mistake you can ever make is selling gold, silver, platinum or palladium to local middlemen. Middlemen will rip you off by paying peanuts for scrap gold items. There are as many reputable gold buyers as there are fly-by-night firms run by middlemen.

How to identify reputable refineries

A number of factors can come in handy when looking for reputable refineries. Look out for the following;

Honesty and Integrity

Honesty and integrity will be embodied in accreditations such as Better Business Bureau (BBB), McAfee, VeriSign and TRUSTe. Honesty and integrity are two important cornerstones of any successful business. The Better Business Bureau is a consumer watchdog that fosters trust between customers and companies. A company that lacks accreditations cannot be trusted. It’s too great a risk and chances are you will be paid peanuts for your stash of scrap gold.

High Payout Rates

Refineries pay more money than local middlemen gold buyers, pawn shops or pawn brokers. Refineries will pay an average six times more money than local middlemen. Rather than sell gold, silver, platinum or palladium items to middlemen, deal directly with refineries for the most money. Local middlemen simply collect gold, silver, platinum and palladium items and sell to refineries for top dollar. Middlemen or pawn shops and pawn brokers can never offer top dollar. They are also looking to make top dollar from refineries and will thus pay peanuts for your gold.

Fast Turnaround

Refineries offer faster turnaround, with faster services and payments. Beware of gold buyers who hire summer students or minimum wage workers to test and analyze your gold. All gold, silver, platinum, palladium and rhodium at KMG Gold is professionally tested and analyzed by a KMG Gold Certified Engineering Technologist, Certified Engineering Technician, or Applied Science Technologist. This in turn, results in faster turnaround and payments.

Shipping Insurance

Only the best gold buyers and gold refineries offer real, claimable insurance for your precious metal. UPS, FedEx, Purolator, Canada Post, the US Postal service etc will all sell you insurance, but it is not claimable for precious metals, gems, jewelery, gold bars, silver bars coins wafers etc.
Only KMG Gold Recycling offers genuine, claimable shipping insurance for your gold at one half the costs of the other carriers insurance.

Additionally, watch out for gold buyers who don’t have a privacy policy or who aren’t certified by TRUSTe. They might sell your e-mail address and your personal information. Beware of gold buyers who don’t have a terms and conditions of service page on their web site. They are hiding things from you. Or perhaps they just might be fly-by-night firms looking to buy gold cheaply.
Posted by Caitlyn Diamond at 10:32 AM 0 Comments

Monday, September 19, 2011

Safe Keeping

Owning gold is starting to become the “in” thing in the investment industry because it’s perceived as a hedge in troubled economic times. With the current value of gold seemly edging higher almost on a daily basis, there are more and more people who are keeping gold investments at home.

“For many people owning gold jewelry means they are now in possession of a significant value of gold,” stated Cpl. Richard De Jong, spokesperson of the North Vancouver RCMP. “The RCMP is cautioning people to be very mindful of where and how they are storing their gold; thieves have been very specific in residential break and enters by stealing just gold jewelry.”

Several agencies and organizations, including KMG Gold are offering some safety tips to consider for safekeeping your gold:

Bank safety deposit boxes are secure and may offer one of the best protection options from theft or loss.
An in-house, fire-rated securely fastened safe may also provide security.

To mitigate the risk of theft, diversify where you choose to store your gold. Do not store all your gold in one specific hiding place in your residence. If thieves find one storage location they may quickly move on.

Be cautious when telling your friends or neighbours about the value of your gold. Keep quiet about the gold you have and you will not have to worry about being targeted for a break and enter or home invasion.

Assume any potential thief may have a metal detector to locate your gold. Therefore, keep your gold stored in a location that contains other metals that could act as a “camouflage” by naturally setting off a metal detector

Think about ‘providing a facade as bait’ for any potential thief. By having a jewelry box with inexpensive items inside, it may be enough perceived riches for the robber to then leave.

Stay away from hiding your gold in predictable places such as a freezer, a cookie jar or under a mattress. Think outside the box and utilize obscure locations.

Seriously consider placing your gold “on account” with a local refinery or recycler like KMG Gold in Winnipeg. By using this service, you keep the investment without risking the chance of theft or loss.

All locations whether in your home or outside, have advantages and disadvantages. Think smart and be proactive in protecting your gold,” suggests Michael Gupton of KMG Gold. “Your gold is worth it!”
Posted by Caitlyn Diamond at 7:49 AM 0 Comments

Saturday, September 17, 2011

Silver Used In Photography

Silver is a soft, white, lustrous transition metal. The metal occurs naturally as an alloy with gold and other metals. It is also available in minerals such as argentite and chlorargyrite. However, most of the silver is a byproduct of copper, gold, lead and zinc refining.

Silver is a valued precious metal used to make ornaments, jewellery, high-value tableware and currency coins. Today, silver has found an array of use as conductors, catalysts, disinfectants as well as in photography.

Silver In Photography
Photography has been around since the early 1800’s. Silver was used in photography for making silver based films. Its popularity grew steadily over the years. However, the recent introduction of digital cameras has reduced the use of silver in photography.

Silver halide crystals were used to cover a film. The crystals, once exposed to light would set. Due to their stability, they produced high definition photos and was therefore the best photographic method.

In the medical and industrial fields, X-rays use silver based films. Industrial inspections involve routine tests of cast metals. Scanning of machinery parts to display hidden flaws is done using these silver based X-ray films.

However, the use of digital cameras has greatly reduced the demand of silver in photography. In 2007, the demand for silver in photography was about 12 – 15% of the years’ total production. This was approximately half the silver that was demanded ten years before. With this large decline, silver is still significant in the industry.

Crime Scene Cameras
Silver based films are widely used and are the recommended technology for evidentiary photography and other field applications. These cameras are preferred because they offer high resolution and the highest dynamic range. Of the available camera technology options, these cameras possess the best colour range.
Compared to digital storage media, silver based films have a more lasting storage medium which is readily available.

Advantages Of Silver Based Films
1.They have a high resolution quality that gives a sharp image. The small sized silver crystals are the ones that give the cameras this high resolution.
2.The films are readily available and are manufactured by many reputable companies.

Disadvantages Of Silver Based Films
1.The films require separate processing and printing facilities.
2.They use up a lot of time in processing.
3.Processing this films produces environmentally hazardous byproducts.
4.The film needs a lot of care in handling before it is processed. This is because exposure to  humidity and temperature destroys the content.
5.The images taken can not be viewed immediately like in digital cameras, unless an instant film was used.
6.They do not have provisions for editing the images taken hence all faults are processed with the images.

Posted by Caitlyn Diamond at 7:54 AM 0 Comments

Friday, September 16, 2011

Seller Beware!

We’ve all heard the saying - ”Buyer beware,” but in today’s precious metals industry, the term “Seller beware,” is by far more appropriate.

“The predators are out in full force,” said KMG Gold founder and president, Michael Gupton.  “And unfortunately it’s because they can get away with it. They feed of the fact that today’s consumer is not aware of the options available.”

With the recent upswing in the price of gold and silver, more and more people are turning to gold buyers to sell their unwanted and scrap gold jewelery and coins. Jewelers, pawnshops and even “traveling roadshows” as Gupton calls them have all entered the market in an effort to grab a piece of the action.

“They are nothing short of predators,” Gupton claims when asked about these roadshows. “Don’t do it. They come to the outskirts of town because they are unlicensed and can’t do business in the city. They grab your stuff with an almost insulting offer and leave as fast as they can.”

Gupton has owned and operated KMG Gold, a local refiner and recycling operation in Winnipeg since 2007. He has been committed to educating the public on the precious metals industry and the tragic environment al effects of mining.

“All you have to do ask questions and check out their web sites, “said Gupton.  “ When they state they ‘probably’ pay out the highest rates that should be an immediate red flag. The other thing is ‘they arrange’ to refine and recycle used jewelery. What does that mean? It means they probably send it to us or another refinery. They are just middlemen.”

Michael Gupton founded KMG Gold in 2007 with his wife Karen, hence the name “KMG”, and has since proven himself a leading voice in the gold recycling industry by advocating for consumer interests, by publishing a wide variety of information and resources on the KMG Gold website.  KMG Gold was awarded the Manitoba Chapter of the 2010 Better Business Bureau TORCH AWARD for Torch Award for Marketplace Excellence demonstrating ethics and integrity in the marketplace.  BBB Torch Award winners build trust, advertise honestly, tell the truth, remain transparent, honour their promises, and display integrity in all of their marketplace activities. 
Posted by Caitlyn Diamond at 11:20 AM 0 Comments

Friday, September 16, 2011

Platinum Mining

Platinum has very few sources though its demand has been continously rising. Production of this metal is concentrated in two regions: South Africa and Russia. They produce 90% of the world’s platinum.
Globally, platinum mining companies are less than ten. Other countries like Canada, Zimbabwe and United States mine Platinum from smaller deposits. The increase in demand has been an incentive to the mining companies to develop plans for expansion.
Platinum mining companies require a lot of capital. This is used for production facilities and for ensuring survival by financing exploration and production. Platinum is both a precious metal as well as an industrial metal. Its use as an industrial metal is because of its resistance to chemicals and extreme temperatures as well as stable electric properties.
Processing operations
Mining of platinum is a very involving process. Extraction, concentration and refining may take up to six months. Statistics show that for an ounce of the metal to be obtained, 7 to 12 tonnes of its ore must be processed.
Most platinum occurs underground. Extraction  is labour intensive and involves miners drilling holes which are then blasted by use of explosives. The ore is then harvested and taken to the surface. Here it is crushed and milled into smaller particles that expose the minerals  (PGM) which contain the platinum.
These particles are then mixed with water and other special reagents, a process known as ‘froth floation’.  Air is then blown through the mixture making the PGM particles float  on the surface. The floation concentrate is removed . To ensure that all the PGM material is obtained, the material that fails to float is taken through the milling and floation process again.
The floatation concentrate is dried and smelted at temperatures of above 1500? C. This separates the valuable metal as a matte from the unwanted minerals. Periodical tapping of this material removes sulfur  and iron. This increases the PGM content to about 1400 grams per ton.
Refing of this PGM material is necessary as it removes nickel, copper and cobalt. This is done through standard electrolytic techniques. The final step of purifying the PGM concentrate is then done. Traces of gold or silver that may be present are removed by a combination of techniques such as, solvent extraction, distillation and ion-exchange. Dissolving the resultant material in hydrochloric acid and chlorine gas obtains soluble metals. These are first gold, then platinum and palladium.
Platinum can also be obtained from scrap material. The autocatalyst sector provides the greatest proportion of recycled platinum. The catalyst substrate is smelted together with iron or copper. Leaching is then done to dissolve the copper or iron, obtaining a concentrare that undergoes the refining process.
Posted by Caitlyn Diamond at 7:34 AM 0 Comments

Thursday, September 15, 2011

Gold prices are likely to break through $2,000

Gold prices are likely to break through $2,000 an ounce by year-end to new record highs, metals consultancy GFMS said in a report on Thursday, as inflation pressures in Asia and debt concerns in the West lead to a recovery in investment demand.

While investment was soft in the early part of this year, jewellery purchasing held up remarkably strongly as prices climbed to records, the company said, while central banks added to holdings and scrap supply remained muted.
World investment in gold is forecast to jump by more than a quarter year-on-year to 1,069 tonnes in the second half, largely on the back of soaring bar demand, and could push the market significantly higher.

"Apparently low investment figures were very much a first-quarter story," said Neil Meader, research director at GFMS. "As soon as that Western disinvestment stops, you then have investment coming back at a time when the jewellery market is still strong and scrap is not doing a huge amount."

"Throw in a couple of hundred tonnes of official sector purchases, and you get some quite interesting price pressures going on," he said.

A forecast for a hefty 43.5 percent year-on-year fall in implied net investment -- chiefly reflecting activity in exchange-traded funds, on COMEX and in over-the-counter trading -- was a reflection of profit-taking early in the year, Meader said.

But the low interest rate environment, poor confidence in paper currencies and concerns over sovereign debt are all still strong factors underpinning interest in gold. In the full year, world investment is seen rising 1 percent to 1,693 tonnes.

Selling out of exchange-traded funds in the first quarter of the year, when the major gold funds recorded the largest quarterly outflow on record, has been partly reversed, suggesting appetite for the products has recovered.

Bullion bar buying, which has been consistently strong this year, rose 43 percent in the first half and is expected to stay strong in the remainder of the year, with GFMS forecasting a further 8 percent rise in the second half.

"We have seen periods where ETF demand wasn't great, and to an extent that was due to some people shifting out of ETFs into allocated metal accounts, because that is a lower-cost vehicle for holding gold," said Meader.

"That phenomenon happens when you have new entrants in the market. The ETFs are very visible and easily understandable, and that attracts new entrants, but once they are more familiar with gold ... and if their positions build to a certain size, they may be in a position to switch into allocated metal."
Posted by Caitlyn Diamond at 7:20 AM 0 Comments

Wednesday, September 14, 2011

2011 American Eagle Silver Uncirculated Coins

The United States Mint will offer 2011 American Eagle Silver Uncirculated Coins beginning at noon Eastern Time ( ET ) on September 15, 2011. The one-ounce .999 silver coin is currently priced at $60.45. As with all products sold by the United States Mint containing precious metals, pricing is subject to change.

Struck on specially burnished blanks, American Eagle Silver Uncirculated Coins feature a finish similar to their bullion counterparts but carry the "W" mint mark, indicating production at the United States Mint at West Point. Each coin is encapsulated in protective plastic and placed in a blue presentation case accompanied by a Certificate of Authenticity.

The obverse ( heads side ) design of the American Eagle Silver Uncirculated Coin features an image of Lady Liberty in full stride enveloped in the folds of the American flag with her right hand extended and branches of laurel and oak in her left. The reverse ( tails side ) design of the coin depicts a heraldic eagle with shield, an olive branch in the right talon and arrows in the left.

Orders will be accepted at or at 1-800-USA-MINT ( 872-6468 ). Hearing- and speech-impaired customers with TTY equipment may order at 1-888-321-MINT ( 6468 ). A $4.95 shipping and handling charge will be added to all domestic orders. There is no household order limit.

The United States Mint, created by Congress in 1792, is the Nation's sole manufacturer of legal tender coinage and is responsible for producing circulating coinage for the Nation to conduct its trade and commerce. The United States Mint also produces proof, uncirculated and commemorative coins; Congressional Gold Medals; and silver, gold and platinum bullion coins.

Posted by Caitlyn Diamond at 7:27 AM 0 Comments

Tuesday, September 13, 2011

Gold Crowns

A crown is a form of dental restoration which is used on a tooth or a dental implant. They are used when a cavity develops on a tooth and are applied on the tooth using dental cement. Their purpose is to improve the appearance and strength of a tooth. Different materials are used for making the crowns. Gold is the most common.

Full Gold Crowns
These are the most common gold crowns used by dentists. Though they are called gold crowns, they are made up of a number of elements: the noble metals (gold, platinum and palladium) and the base metals (silver, copper and tin). Gold crowns that have a high noble content are of better quality.

Technique For Making Gold Crowns
Gold crowns are made through a process known as the Lost-wax technique. A dentist takes the impression of the tooth to be replaced, those adjacent and those opposite. The dimensions of the cast crown are then done in three dimensions, that is, the height, width and depth.

The measurements are recorded on an impression material and send to a dental lab. Dental stone or plaster is used to make the models of the tooth. The models are then ditched, died and articulated so that their arches meet properly.

To this tooth analog, known as a die, is applied wax. The wax is carefully moulded to gain the shape and exact dimensions of the tooth being replaced. Before the wax is applied, a die spacer is applied. This helps provide a space between the actual tooth and the gold crown.

A lubricant is also applied to ease in removal  of the wax pattern once preparation is complete. The wax pattern is then invested in a plaster like material. It is then placed in a furnace which burns off all the wax and plastic that was in the wax pattern, hence the name Lost-wax technique. A hollow is left which is known as the investment pattern.

To this hollow is shot pennyweights of melted gold. Once it has cooled, the crown is polished to high shine. Touching up is done at the place of attachment as the dentist checks to see if fits in with the adjacent teeth.

Advantages Of Gold Crowns
•Gold is very strong and resistant to corrosion. It is mostly applied on the back teeth that have biting forces.
•It adapts and fits well as a crown.
•Preparing a tooth for a gold crown is easy as no healthy tooth structure is tampered with.
•It provides longevity in service.

Disadvantage Of  Gold Crowns
Full Gold Crowns have one major disadvantage. This is the fact that they are cosmetic and hence not suitable for front teeth.

Posted by Caitlyn Diamond at 7:56 AM 0 Comments

Monday, September 12, 2011

Important Steps Involved In Buying Gold

The world economic scenario has undergone a lot of turbulence and uncertainty in the past few decades. Therefore, it is a secure alternative to make long term investments. The retirement accounts are decreasing, the stock exchange is also subject to huge fluctuations and the value of all currencies is on a decline. Gold has become a prized investment in such these circumstances. Gold has emerged as a winner because it has been able to withstand all the lashes of recession. Apart from being used in ornaments, gold also possesses immense historical value and importance. What’s more is that by buying gold at a lower price and selling it at a higher price, one can make money.

To ensure that gold proves to be a secure and reliable investment, people should understand some simple steps to buy gold. To gain a full understanding of the ins and outs of the market, people should thoroughly analyze the gold market. If one wants to know the potential value of gold holdings, people should understand the value of the metal and have complete knowledge of its historical relevance. Moreover, people should be aware that gold investment is not restricted to one specific option. People can buy metal futures, certificates, stocks of mining companies, wafers, physical bars and coins and mutual funds of precious metals amongst others.

Before settling on one form of investment, people should have a thorough understanding of the gold industry. In addition, the mode of investment which is selected should enable people to make money and should also be within means. Those investors should look for gold coins that have a limited allocation. Not only these coins have immense historical value, but are easy to transport and convenient to store and hold.

Finding a reliable gold dealer is the next step which has to be followed. It is essential to find a dealer who is honest, trustworthy and follows all business ethics from the ones which are available locally as well as online. All Canadian cities like Toronto, Calgary, Kamloops, Vancouver, Winnipeg, Victoria etc have their own gold dealers.

There are several gold dealers located in each city. It can be seen that people can save on the transportation and shipping costs can be saved if one opts to use a local dealer. On several occasions, people can gain confidence by investing in smaller items.

People can choose any gold refinery in Canada for confirming gold authenticity of gold with the help of gold assay services. KMG Gold Recycling is a suitable choice when looking for a precious metal refinery in Canada. People can make a decision once the refinery has analyzed the gold. KMG would be the ideal choice as it conducts all its transactions with honesty. 
Posted by Caitlyn Diamond at 6:20 AM 0 Comments

Sunday, September 11, 2011

The New Gold Rush?

Some people are referring to this period of time as the new “Gold Rush.” Most will agree, the current market has been a golden opportunity for investors, some consumers, but as usual the con artists have jumped on the band wagon as well.

According to KMG Gold, president and founder, Michael Gupton on CJOB 68 radio, “Beware: pay attention to past scams and watch out for new ones that are circulating via email, newspaper advertisements and flashy television commercials.”

If someone really wants to buy gold, don't fall for late-night TV pitches or telephone sales calls that come out of the blue. Think about it: Why would a stranger want to tip you off to a hot gold mine investment?

"If gold is hot, you'll see gold scams," warned Gerri Walsh, vice president for investor education for the Financial Industry Regulatory Authority, the nation's largest independent securities regulator.

Gold futures hit a record $1,923.70 an ounce Tuesday before falling back, a good reminder that this is a volatile investment -- even the legitimate deals.

Many of people have never invested or sold gold and have no idea how to go about such a transaction like this. Scam artists take advantage of the fact that individuals are basically unaware. They see the hype and headlines, plus the knowledge that many investors are turning to gold out of anxiety over wildly swinging stock prices.

Take your time. Do your research and only go with companies that have been in the gold business for a long time.

"If you are going to buy or sell a piece of gold, always buy from a reputable dealer who can provide the verification on the purity and authenticity of the piece," Gupton stated. 

The Financial Industry Regulatory Authority, the nongovernmental regulator for securities firms in the U.S., issued an investor alert recently to warn potential investors about the possibility of getting bit by the latest gold bug.

The North American Securities Administrators Association also listed schemes involving gold and other precious metals in its top 10 investor traps.

In one, a fast-talking promoter tried to raise capital for extraction equipment to reopen a long-dormant gold mine in exchange for a full refund on your investment, plus interest and a stake in the mine.

In another, operators claimed to have special coins or nuggets that they could store or trade for investors in special markets for high profits and returns.

In both cases, investors suffered heavy losses.

Be warned, too, about some gold-related investment scams that pitch stocks supposedly connected to mining or exploration. One false promise could be that a given company's stock is a buyout target for other mining companies.
Posted by Caitlyn Diamond at 6:41 AM 0 Comments

Saturday, September 10, 2011

KMG Gold Founder To Appear on CJOB Radio

KMG Gold founder and president, Michael Gupton will appear live on CJOB Radio. At 10:00pm on Saturday, Sept 10, Michael talks live on the Greg Glatz Show in an active discussion on the current market trends in the precious metals industry.

With the price of gold reaching near record highs, many people have been looking for the best, easiest and SAFEST way to sell their unused jewelry, coins and other precious metals. Gupton has become the leading authority on the gold buying industry and will be a perfect fit for Greg's program.

"I think a talk show is the crown jewel of broadcasting because it gives people a chance to say what they need to say. For that reason, my shows have always been built around the idea that the callers matter most. I say exactly what I need to say and I give listeners their chance to do the same."
Posted by Caitlyn Diamond at 7:08 PM 0 Comments

Saturday, September 10, 2011

Fire Assay Process

This is a technique that has been in use for quite a few years. It is used in the analysis of gold and platinum group elements. The process aids in the separation of minerals from ores. It is by far the most common and widely used process in metals analysis.

The science
Whether the application is applied with large or small samples, the procedure is generally the same. It involves addition of a lead based flux that has been added to the test sample. The resulting mixture is then fused at temperatures  of 1650 F. Silver is usually added to this mixture as it helps in the collection of gold. For samples that have trace amounts of gold, the addition of silver collects the traces therefore enhancing gold collection.

The material obtained from the fusion is poured onto a mould and cools into a lead button. This contains all the precious metal that was in the sample. A silica glass slag is placed at the bottom of the mould which is removed later.

The next step is the separation of the precious metal from lead. This is done through a process known as cupellation. It uses a porous crucible known as a cupel which is made of magnesium oxide and bone ash. Heating the cupel and the lead button in the same furnace leads to oxidation of the lead. It is absorbed into the cupel, leaving only the precious metal which has may have traces of silver.

The addition of nitric acid separates the gold from silver. This possible because silver is soluble in acid. The gold then undergoes a procedure known as gravimetric finish, which is the determination of the golds’ original grade. However, the gravimetric finish is only applicable on large gold samples. For gold that has small particles, they are dissolved in hydrochloric acid and the resulting concentrate measured using AAS.

For platinum group elements, the final measurements, unlike for gold, are done using ICP.
Advantages of fire assay
Fire assay can be used on samples that have tiny particles.
Factors within the precious metals make the method viable. These are:
a)The solubility of these metals in molten metallic lead and insolubility in other molten metals.
b)The metals are easily separated from the lead.

Fire assay is the most accurate method of assaying precious metals and is widely used by refiners. Though it is time consuming and labour intensive, it is the best method for assaying. However, caution must be observed in the process to avoid accidents. It is mostly commonly used by professionals but individuals can do the test for themselves by apply strict guidelines to ensure the right results are obtained.
Posted by Caitlyn Diamond at 9:56 AM 0 Comments

Friday, September 09, 2011

UBS Lifts 2012 Gold-Price Outlook by 50% to $2,075

According to UBS, the “ongoing global macroeconomic disappointments” has allowed them to boost its 2012 gold-price forecast by 50 percent. The metal will average $2,075 an ounce next year, up from an earlier estimate of $1,380, the bank recently stated in a report. Prices will average $1,725 in 2013, compared with a previous forecast of $1,200, UBS analysts led by London-based Edel Tully said.

Bullion has surged 28 percent this year, touching a record $1,923.70 an ounce in New York yesterday, as escalating debt woes in Europe and the U.S. spurred concern that the global economy will falter, lifting demand for haven assets. Gold is in the 11th year of a bull market as record-low U.S. borrowing costs boosted demand for an inflation hedge.

“The maintenance of U.S. rates close to zero means that gold is not in competition with assets that offer yield,” UBS said. “Economic growth expectations globally are declining, high debt burdens in Europe will continue to hamper growth, and the risk of a U.S. recession is rising. All of these factors are individually positive for gold. Taken together, they are a potentially explosive cocktail.”

Federal Reserve Bank of Chicago President Charles Evans said that the central bank should move “aggressively” to reduce unemployment and “seriously consider” further stimulus measures. The Fed has pledged to hold rates low for about two years. Unemployment has remained at around 9 percent or higher since April 2009.

Gold futures for December delivery fell $55.70, or 3 percent, to settle at $1,817.60 on the Comex in New York.

The metal will be “increasingly used as the line of defense against additional negative market outcomes,” UBS said. “Money will likely flow into the gold market over the months ahead and into 2012, and this should have significant price implications.”

Posted by Caitlyn Diamond at 10:58 AM 0 Comments

Thursday, September 08, 2011

Silver - The Perfect Alternative

The price of silver has been closely tracking that of gold during the precious metal’s bull run lately. Silver’s role as a precious metal has, at times has avoided any price negative news that has affected the other industrial commodities.

Silver benefits from gold’s rising prices largely because investors, whether in the paper or the physical markets, view it as an attractive leveraged play on gold. Silver offers exposure to the rising demand for safe haven assets at a cheaper price, sometimes earning it the title of “poor man’s gold.”

Of course, choosing silver as an alternative to gold has its risks, especially since the white metal isn’t entirely a precious metal. Silver’s price movements can be heavily impacted by favourable or unfavourable market sentiments regarding the health of the industrial sector, making the silver market highly volatile and prone to large swings in prices.

“Regardless of what happens, silver is still silver,” says Michael \Gupton of KMG Gold in Winnipeg. “It is considered both a precious metal with monetary overtones and also an industrial metal – two positive traits that affect its value.”

Worth the risk?

In spite of the risks, many people still find silver an attractive investment as it has the potential to bring far greater return on investment. The return on investment for silver can surpass gold as price movements over the last year have shown. From August 31, 2010, the price of silver year-over-year gained 115 percent compared to 47 percent for gold; meaning, that one hundred ounces of gold you bought last year for $124,770 made you $57,750 if you sold it one year later. However, you could have put that $124K all into silver and made nearly $143K for a total return of 147 percent more than your return on gold.

Over this next year, analysts expect gold prices to reach even higher and for silver to continue outperforming gold. “When we look at gold versus silver, we feel that silver prices could enjoy more of a gain over the next year or so." stated Gupton. 
Posted by Caitlyn Diamond at 10:36 AM 0 Comments

Wednesday, September 07, 2011

If you’re looking for bubbles, don’t look at gold coins

Of all asset classes in today’s markets, gold is unique. And for a number of reasons.

Firstly it acts as a long-term hedge and a short-term flight to safety instrument against virtually all other asset classes. Secondly, it supports a wide range of instruments, including physical delivery (bullions, coins and jewellery), gold-linked legal tender, gold-based savings accounts, plain vanilla and synthetic ETFs, derivatives and producers-linked equities and funds. All of these are subject to diverse behavioural drivers of demand. Thirdly, gold is psychologically and analytically divisive, with media coverage oscillating between those who see gold as either a long-term risk management tool, or a speculative “bubble”.

In the latter context, it is interesting to look closer at the less-publicized instrument -- gold coins, traditionally held by retail investors as portable units to store wealth. Due to this, plus demand from collectors, gold coins are less liquid and represent more of a pure ‘store of value’ than a speculative instrument.

Classical bubbles arise when speculative motives (bets on continued accelerating price appreciation) exceed fundamentals-driven motives for holding gold. In later stages of the “bubble”, we should, therefore, expect demand for gold coins to fall compared to the demand for financially instrumented gold.
The U.S. Mint data on sales of gold coins suggests that we are not in the last days of the “bubble”. But there are warning signs to watch into the future.

August sales by the U.S. Mint were up a whooping 170 per cent year on year in terms of total number of coins sold, while the weight of coins sold is up 194 per cent. On the surface, this gives some support to the theory of gold becoming overbought by retail investors. However, monthly comparatives reflect a huge degree of volatility in U.S. Mint sales and August results comfortably fit within statistical normals for the crisis period since January, 2008. August results also fall within the historical mean (1987 through Monday).

At 112,000 oz of gold coins sold, August, 2011 is only the 19th busiest month in sales since January, 2008. Since 1988 there were 87 months in which average gold content per coin sold by the U.S. Mint exceeded the August, 2011 average and on 38 occasions, volumes of gold sold exceeded last month’s. In other words, current gold coinage sales do not represent a dramatic uptick in demand.
Posted by Caitlyn Diamond at 11:50 AM 0 Comments

Tuesday, September 06, 2011

Gold Fever Sweeps the Criminal Underworld

The beauty of gold, from a criminal stand point, is that it's easy to fence. Rings and necklaces can be melted down — destroying the evidence — and sold. Most local by-laws and licensing requirements take this into account. Legitimate gold buyers do have a certain period of time before they can issue a payment.

The gold fever that has driven prices to an all-time high is also fueling a crime spree in the precious metal. Police in the U.S. are seeing an increase in robberies and burglaries related to gold prices, which peaked at $1,900 an ounce, up more than $600 from a year earlier.

After a summer of incidents on gold stores, parts of downtown Los Angeles now look more like a militarized zone than a commercial corridor.

The FBI doesn't keep numbers for gold thefts but local police departments have plenty of anecdotal evidence of a spike. Dozens of women have had their necklaces snatched in daylight attacks, burglars are targeting gold in homes and robbers in New Jersey even cleared out a mining museum's irreplaceable collection of nuggets.

GOLD prices top $1900

GOLD prices topped $1900 a troy ounce as worries about slowing growth and European debt whetted appetite for the metal's perceived safe haven. The demand for gold bullion gained as US stock-index futures and European equities fell.

Gold for December delivery rallied by over twenty-five dollars to $1902.80 an ounce in electronic trading on Globex. The contract had risen as high as $1908.40 an ounce, according to data from FactSet.

Gold futures rose rapidly to touch a record $1912.29/oz on August 23 before falling more than $200 in the next 48 hours after US exchange operator CME Group hiked trading margins on gold futures.

An election defeat for German Chancellor Angela Merkel's party prompted worries about whether support for helping Europe's debt-ridden would decline.

Earlier in London, spot gold was hovering about the key $1900 a troy ounce mark, and was expected to soon rise back toward record territory, as deepening concerns over global growth prompt investors to abandon risk assets in favour of perceived safe havens, like bullion and core government bonds.
Posted by Caitlyn Diamond at 9:44 AM 0 Comments

Tuesday, September 06, 2011

Gold Prices

The London Gold Fixing is the most common benchmark for the price of gold. The London Gold Fix refers to a twice daily telephone meeting of committee members from five bullion trading companies on the London Bullion market.

Representatives from the five firms meet twice daily to set the price of gold bullion. However, gold trading goes on world over based on the intra-day spot price, which is typically taken from over-the-counter gold-trading markets globally.

Recent Price Increases

The recent increase in the price of gold can perhaps be traced back to 2008, when the gold price went above US$1,000 to peak at US$1,004.38. However, after the March 2008 increase, Gold prices once again fell to a low of US$712.30 per ounce.

But it wasn’t long before the prices begun to rise again in late February 2009. Towards this time, the gold price provisionally went above US$1000 but later experienced a slight decline towards the end of the first quarter of 2009. By the end of 2009, the earlier March intra-day spot price record of US$1,033.90 was surpassed numerous times in October.

The price of gold effectively began climbing new highs in late 2009, peaking at about US$1226 before a sudden slight decline. However, as of August 19, 2011, the price of gold had peaked at a new all time high of US$1852.00 at the London Gold Fix.

A number of factors account for the fluctuating price of Gold.

Like any other goods, the price of gold is largely determined by speculation, supply and demand. On the one hand though, saving and disposal also affect greatly the price of gold more than its consumption. The fact is, most of the world’s gold ever mined can be found in bullion bars or jewelry, but with minimal value in terms of gold’s fine weight. As of the end of 2006, estimates indicate that all gold ever mined globally summed up to 158,000 tons.

Considering the fact that vast amounts of gold are stored above ground than annual gold production, the gold price is mainly driven by alternating sentiment (demand), as opposed to annual production (supply).

Estimates from the World Gold Council indicate that annual mine production of gold in recent years has been around 2,500 tons. Out of this amount, about 2,000 tons goes into the jewelry and dental industry and a further 500 tons is used by retail investors and exchange traded gold funds.

There has never been a better time to sell gold given the high price of gold currently in the international bullion market. Generally, the price of gold has also historically gone up in uncertain economic situations, such as inflation, as investors rush to hedge against financial losses.
Posted by Caitlyn Diamond at 9:02 AM 0 Comments

Friday, September 02, 2011

Gold prices held steady ahead of US payrolls

Gold prices held steady on Friday as investors stood on the sidelines ahead of a key US payrolls report due later in the day, after recent data sent mixed signals about the status of the world's largest economy.

Caution is likely to prevail before the key US August employment report is released at 1230 GMT. Nonfarm payrolls are expected to have increased 75,000, slowing from July's 117,000 rise, according to a Reuters survey.

A big surprise in the jobs data could move gold prices up or down. Short of a huge discrepancy with forecasts, however, many players will continue to try to ride the middle ground.

"Gold seems to have a trading band of $1,810 and $1,840, and is unlikely to break the range ahead of the payrolls data," said David Thurtell, a Citigroup analyst.

Spot gold edged up 0.3 per cent to $1,829.21 an ounce by 0634 GMT, little changed from a week earlier.

US gold inched up 0.2 per cent to $1,832.30, headed for a weekly gain of 1.9 per cent.

Investors will keep an eye on inflation figures from China next week to gauge the progress of Beijing's battle against rapidly rising prices, while a two-day policy meeting of the US Federal Reserve starting Sept. 20 will also be in the spotlight.

Gold up on safe haven buying Gold rose to a 1-1/2 week high on

Friday, benefiting from caution about the euro zone debt crisis and ahead of the key U.S. non-farm payrolls data which is likely to underscore the frail state of the world's largest economy.  

Growing worries about Greece's ability to meet its deficit targets fuelled a pullback in risky assets, with European stock markets falling sharply, prompting investors to seek refuge in
safe haven assets such as gold.      

In the latest twist in Greece's debt saga, talks between Athens and international inspectors on whether it has met conditions for a new aid tranche have been put on hold, a day after Greece said it would miss its budget deficit targets this year.    

Spot gold rose 1.5 percent to $1,851.14 an ounce at 0954 GMT, from $1,824.55 late in New York on Thursday. It earlier rose to a high of $1,855.30, its highest level since hitting a record high above $1,910 on August 23.

"We're seeing a new round of flight into so-called safe haven assets. The debt problems in the euro zone are still a worry and it offers an opportunity for market speculators to buy gold," said Peter Fertig, a consultant at Quantitative Commodity Research.               

The metal rose 12 percent in August, its strongest monthly gain since Nov. 2009 as a run of soft economic data fuelled speculation the Federal Reserve would print more money to shore up the flagging U.S. economy.
Posted by Caitlyn Diamond at 9:50 AM 0 Comments

Thursday, September 01, 2011

Shipping Insurance for Precious Metals in Canada

Shipping insurance is vital when looking to ship scrap gold, silver, palladium or platinum to the refinery. Refineries pay the most money for items of scrap precious metal such as old earrings, thermocouple wire, wafers, coins, bracelets, rings, silver electrical contacts and silver from photography labs etc.

Several companies offer shipping insurance for precious metals in Canada and the US. For high returns from gold, silver, platinum or palladium, finding genuine shipping insurance is crucial.

Genuine Shipping Insurance

Not all companies that offer shipping insurance in Canada provide coverage for items of precious metal. On the contrary, some shipping firms offer insurance that is not claimable for items of precious metals. For instance, you can buy shipping insurance from companies such as UPS, FedEx, Purolator, Canada Post, the US Postal service amongst others.

However, the shipping insurance offered by these firms is not claimable for items of precious metals, gems, jewellery, gold bars, silver bars, coins, wafers etc. But there are Canadian companies that offer genuine shipping insurance claimable for items of precious metals.

Only KMG Gold Recycling offers real, claimable shipping insurance for your gold at one half the costs of the other carriers insurance.

Why chose KMG Gold Recycling?

KMG Gold Recycling pays out an average five times more money than its industry competition. When it comes to jewellery, KMG Gold Recycling is America's trusted authority, providing a tradition of excellence, high quality and unparalleled service.

Last year, KMG Gold Recycling won the 2010 Better Business Bureau Torch Award for Marketplace Excellence demonstrating ethics and integrity in the marketplace.

BBB Torch Award winners build trust, advertise honestly, tell the truth, remain transparent, honor their promises, and display integrity in all of their marketplace activities.

KMG Gold offers a secure and safe way to sell your unwanted jewellery for the most money in the industry. With the current high price of gold, there's never been a better time to sell. KMG Gold Recycling's expertise and experience ensures your peace of mind. The company offers a competitive payout, quick turnaround and fast payment.

KMG Gold Recycling is North America's newest and most dedicated full service refinery and gold buyer. The company has the most comprehensive recycling services of any refinery and gold buyer. Payments and services are efficient as the company offers excellent communication and customer support. Every single transaction is fully transparent and open.

There are custom settlement options tailored to suit all of your needs, whether you're an individual selling small lots of gold or the large refining lot customers. Currently, KMG has the highest gold buyer pay out rates in North America! All of KMG Gold’s prices for cash lots and refining lots change every day with the market price of precious metals.

Posted by Caitlyn Diamond at 9:25 AM 0 Comments