Gold in its natural state, is found in river beds and small streams around the world. In the history of gold, we believe those shiny yellow nuggets were probably the first metal dealt with by ancient man. The saying“gold is where you find it” is due to its visually evident characteristics that requires no special tools or devices to find it.
As gold deposits are fairly well spread throughout our world’s geology, its discovery and use spread wherever civilizations grew. Gold first showed up as adornments of jewelery by Queen Pu-abi of Ur of Sumeria in the Middle East in 3000B.C. The industrial age development of iron and copper working is considered to be one of the greatest contributions to mankind’s economic and cultural progress.
In reality, gold came first and did more to establish commercial trade that in turn, paved the way for continued stabilization of large societies and emerging governments. Gold coins first appeared as money about 700 B.C. , a time when gold had no value as money, but was a considerably desirable commodity to trade, in and of itself.
Gold’s close reputation by association, throughout the history of gold, with the gods, immortality, and wealth itself are good examples of the power of gold that is common to many cultures and helps establish the gold prices today. Gold jewelry and ornaments were prized possessions of kings, rulers, and the wealthy in nearly all the cultures of the world. With gold prices today, anyone can own gold, not just kings.
By the way, until this day, many countries in the world still trade in the form of online forex trading and other commodity exchanges.
Gold Prices Today
Gold prices today are steadily rising and have shown no sign of slowing during the past year, and gold is showing no signs of a significant fall in price in the immediate near distant future. A decade ago, gold prices were approaching $250 per ounce and gold prices today are over $1500. This shiny coveted yellow metal had risen almost 25 percent in 2010 alone.
The gold prices are expected to reach $1750 or higher by the end of 2011. Investment analysts are advising clients to invest in the yellow metal to stabilize your investment portfolio. There are some variables which cause the gold prices today to increase, and these include the domestic and international weakening of the U.S. Dollar against other prominent currencies, people’s apprehension due to the economic conditions and inflation, stockpile buying of gold, even fluctuating energy prices effect gold prices.
All through the modern history of gold, a falling dollar has always pushed up the price of gold to new heights as does the nations political climate. The current worldwide economic situation gives no cause for joy making investors reluctant to invest in government bonds and other such stable securities. Civil unrest in parts of Europe, the Middle East and Far Eastern parts of the world have greatly contributed to the rocket rise of gold prices today.
From what we know of the history of gold, empires were built and maintained on this precious metal and armies waged intense battle to lay their hands on their enemies gold. Fortunately, anyone who wants to own gold today can simply look online to find gold coins and gold bullion for sale.
The Important of Gold
Gold has always equaled wealth. In nearly every culture throughout history, the accumulation of gold was desirable, both for private individuals and governments. Gold is not the rarest item on the planet, nor is it the most useful. The important of gold cannot be denied though. It has been to make jewelry and household items for the wealthy for thousands of years and it was so highly prized that the Incan and Aztec cultures were thought to have been wiped out by invaders searching for their gold supplies.
Still a symbol of wealth and prosperity, the important of gold has changed slightly over the centuries. Today investors worry over gold prices today much in the way ancient kings poured through their stashes of gold, seeking constant reassurance that the gold’s wealth had not diminished. Gold prices are kept high because there remains a high demand for gold among individual investors, funds, and banks worldwide.
The more risky traditional investments appear, the more investors seek to buy gold instead. This demand makes gold prices rise. The important of gold is its reputation as a haven for investors who are concerned about economic or political problems that will affect other types of investments. Gold prices rarely make extreme adjustments due to market conditions like other types of investments, the gains and losses are moderate therefor, less risky.
Gold prices today are determined are driven by supply and demand like oil prices, another commodity. However, unlike oil and most other commodities, gold does not become worthless after being used. Oil is burned, then gone. Gold, if used for gold coins, gold bullion, or gold jewelry, is stored, or in the case of jewelry, worn. Gold prices are effected by how many people have gold stashed away and how many people are currently trying to sell their gold.
When the average investor buys gold, gold bullion is their choice. In some countries, an individual can walk into a bank, ask for the gold prices today, and then buy gold bullion right there. Gold coins are also a popular form of investment although the gold prices today for coins is effected by their rarity in the case of older coins, not just the weight of the gold. In this way, gold coins are a riskier investment. Other forms of gold investment include gold certificates where the individual doesn’t have to worry about storing the gold and shares in gold mining companies, which is not really an investment in gold but in the company’s ability to continue gold production.
No matter how people choose to invest in gold, it remains the most popular precious metal for investment. The important of gold cannot simply be measured by its investment value though. In most cultures, gold jewelry is highly prized not for its investment value but for its looks and luster. Gold is prized for its beauty as well as its investment potential. Few commodities can be given as gifts like gold can, imagine receiving a barrel of oil or a silver coin as a gift.