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Understanding the current 9ct gold prices per gram

If you've ever paid even the slightest bit of attention to stock market news, be it on the radio, in the newspapers or on TV, you'll probably have noticed that the price for gold seems to rise almost continually. The question most people have is if it is rising so much why doesn't everyone spend their life's savings on investing in it?

Well, there are many reasons why it still represents something of a risk despite its excellent performance at the moment. To help you understand the reasons for this, we're going to take a look at how the current 9ct gold prices gram are calculated, as well as examining some of the factors that can cause fluctuations in the market.

The reason gold is so expensive is down to two main things. Firstly, it's an extremely durable metal. That is to say it doesn't age, rust or otherwise deteriorate in any meaningful way, meaning that it will always remain in much the same condition regardless of how many years have passed. This makes it an extremely desirable commodity. Secondly, because it is relatively rare it tends to, at the very least, hold its value over time.

The fluctuations that you see in the gold market are mainly down to one thing - the desire of both the population at large and stock market investors to own it. The more "in fashion" gold is at any point in time, the more expensive it becomes to buy. Couple this with its rareness and durability and you've got a recipe for large profits.

However it's not quite guaranteed. Should a country's central bank fall upon hard times, they can choose to cash in on some of the gold reserves they hold (usually as insurance against customers' money). Doing this will significantly lower the market price, since a large surplus of it has just been made readily available. It is for this reason that buying gold in the current economic climate presents something of a calculated risk.

For the physical gold itself, its value is determined by how pure it is. 24ct gold represents the purest gold available, at 99.9% purity, while 9ct gold is approximately 35% pure. This is quite clearly reflected in the price of the two different types.

Because 9ct gold is less pure, there is also far more of it in existence than there is 24ct gold, meaning that its value decreases even more.

You can find the latest gold prices at www.goldprice.com to stay up to date with market fluctuations and changes.

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