There's outfits that want to ride what they speculate to be a continuing upward trend by "buying your old gold jewelry" ..........and there are outfits that want to sell you gold so they can liquidate the reserves they bought a long time ago for much cheaper based on their speculation that gold has maybe maxed out.

I think what that tells you is that no one really knows where the gold market is going to go.

This speculation is always there...it's just hyper right now.

What I'd suggest is that gold is a safe investment if you have a way to safely store it.....but it's probably not going to pay off very big. But it's better than sticking money under a mattress. Temper your expectations.

__________________

The world could use more Stan Ovshinsky's

I imagine the amount of money the gold merchants are spending on ads pales in comparison to what Wall Street spends trying to sucker you in. And hey, I'm a stock owner, but I'd never trust Wall Street's shysters.

__________________
Giving money and power to government is like giving whiskey and car keys to teenage boys. ---P. J. O'Rourke

the sell your jewelry people are paying half or less of worth then make it off the back end selling retail back to others at top prices. they make money twice while there is buzz surrounding it.

__________________
Socialism doesn't create a rising tide that lifts all boats. It drains the lake and teaches the boat riders not to help themselves by rowing.

Jesus loves you, allah wants you dead

"Every government interference in the economy consists of giving an unearned benefit, extorted by force, to some men at the expense of others."

Ayn Rand

I bought a small amount of gold and silver recently. US Gold eagles are 65 dollars over spot price, so I am at my break even point right now. Silver has more upside, IMO, as it has more industrial uses and there is less silver in the world than gold.

For many years gold was 15 times the price of silver.

In a world where everyone is going crazy over gold, at least one man wants us to buy silver instead. World gold inventories, including jewellery, have increased from 1 billion ounces (one troy ounce equals 31.1 grams) in 1940 to 5 billion ounces today. In contrast, silver inventories have declined from 10 billion ounces in 1940 to 1 billion ounces, Theodore Butler, silver analyst, Butler Research told DNA

'World has 5 times more gold than silver' - dnaindia.com

From 1678-1876, the price of gold was about 15 times higher than silver. By 1940 the price of gold was almost 100 times more than the price of silver. In 1968 gold dropped back down to under 20 times the price of silver. NOW, gold is back to around 60 times the price of silver.

Measuring Worth - The Price of Gold

No one can predict the future. Even though gold and silver are high, I still like them as an investment, since the US is printing money like there is no tomorrow and because of our current economic situation. Also, some major Dollar holders are talking about replacing the dollar as the world's reserve currency. Of course China and Japan deny that these secret meetings have been taking place, but time will tell.

Oh yeah, if you are going to sell gold, or silver, there is only ONE PLACE TO GO. To a coin dealer who buys and sells gold/silver. Ask what they pay for gold and silver compared to spot price. KNOW THE SPOT PRICE BEFORE YOU WALK IN THE STORE. Look it up on the net before you go there. Always have gold separated into 10k, 14k, or 18k. Never mix the different karat weights together, or they will only pay you on the least amount of gold.

http://www.kitco.com/charts/livegold.html

Solid gold is 24 k. Most jewelry is 14k, as solid gold is soft and not durable so it needs to be mixed with other metals. Some Italian gold is 22k, but it usually thick and heavy in order to not bend. I found this piece on those cash for gold companies which I see sometimes 4, or 5 commercials in a single day.........

Our mystery shoppers sent identical 18-karat chains and pendants (retail price $175; meltdown value about $70) to three gold buyers between mid-May and early July. They also took the gold to jewelry stores and pawn shops in Louisiana, New York, and Texas. The cash-for-gold companies paid 11 to 29 percent of the day's market price for gold; the other venues, about 35 to 70 percent. All the checks arrived a few days after the companies received the jewelry.

Cash for gold: Consumer Reports investigates

Above article is worth reading.