The gold market is highly dynamic and trading of gold is done on an international level and the rate of gold is also universal in nature.

1. Title: How are the gold prices fixed??
The gold market is highly dynamic and trading of gold is done on an international level and the rate
of gold is also universal in nature. Internationally cost of gold, silver as well as other precious metals
fluctuate but the maximum fluctuation is seen in gold as the gold markets have more customers with
the metal being more in demand.
One of the main factors that determine the price of gold on a daily basis is the rate of the demand
and supply. The rise and fall of one or the other can result in either the gold rate rising or falling.
Basically gold and silver are precious metals that have extremely difficult and expensive processes of
mining. So the first reason is that mining the metals being an expensive process raises the cost of
the metals. The increase in its cost is further raised by the cost of the recycling process of scrap that
is got from the mining process. All these factors are taken into due consideration when deciding
upon the rate of gold for a particular day.
The fixing of the gold price per gram is done by a panel of 5 members who belong to different
groups of companies, but all of them related to gold markets, finance and trading. Every day the
price of gold is fixed twice and the timings are at 10:30 am and at 3:00pm. All the five who decide on
the rate are member of the London Bullion Market Association and hence have been given the
power to set the today’s gold rate.
Known as a currency without any country as the trading of gold takes place worldwide and at a given
point of time, gold trading is conducted at some place or the other in the world. The rate of gold is
usually decided in US dollars, but in every market it undergoes a transition to the local currency
according to the conversion rate of that currency. Investing in gold is a great way to ensure that
there is some support for the rainy day as gold always has high returns so investing in gold is safe.
Convenient to invest with no documentation to show investing in gold is also is secured as its value
does not diminish with geographical or political upheavals. Available to invest in different forms like
an ounce biscuit, a coin or jewelry, gold has preserved its value and worth till today and so there
seems to be no scope for a drastic fall in its rate therefore making investing in it a wise option. For
more info please visit us: -- www.tradepreciousmetals.com.