Gold to Hit USD1500 An Ounce!

If you have been collecting or investing in gold jewelry or gold coins, your collection is now worth a tidy sum as the price of gold is currently hovering around USD1000.

Precious metal experts are predicting it will go up to USD1500. (More people might be heading Mersing way to pan for gold?)

I have no idea whether pawnshops here are doing a brisk business but in the US, pawnshops are seeing a rush of gold sellers - office workers, retirees and many others bringing their jewelry in jewelry boxes, even safe deposit boxes to cash in on the high price of gold.

There is good reason now to get rid of pieces of jewelry they find outdated, broken, or simply will not be worn again. Coins and other hand-me-down pieces also find their way to the pawnshops. There are even gold parties, where people gather to sell their jewelry.

Cashing in may be due to the need for cash resulting from the softening of the economy. Gas price being at $3.60 per gallon may be a big factor in people converting from jewelry to cash to fill their gas tanks. Some seniors pawn their gold items in order to make it through until their next Social Security checks arrive.

The price of silver has also gone up - from $6 per troy ounce two years ago to more than $20 now.