Gold and Silver Are How Expensive?!
As we closed out the year 2024, the gold market was at an all time high of $2,600 per troy ounce, having surged up 25% in one year. Little did we know, 2025 would bring the gold market over $4,300 per troy ounce; a gain of over 60% in one year. The silver market went up too, and more than doubled, hitting all time highs nearing $70 per troy ounce. Naturally, this has meant considerably higher prices in quality jewelry, but has also brought more low quality, cheap jewelry into the market, and even in some cases, “good quality” fake jewelry.
The phrase, “You get what you pay for” is generally true in jewelry. Durable, heirloom quality jewelry is not inexpensive. I met a woman a few years ago that was looking for a ring to put on her wish-list for her anniversary. She said something like, “We’ve been married 40 years, and this ring is only $50 per year of our marriage.” If properly cared for, that ring could easily last 40+ years. A low cost gold-plated ring might only be under $100, but it will never last 40 years, and even simple sizing will be more expensive or worse, impossible.
There is a place for less expensive, fashion jewelry. Pieces that you only wear a few times a year, or for a special occasion, like a wedding or a party, may not warrant the higher price tag. With proper care, they could last for years. However, all fashion jewelry is not created equal. Gold-plating can be layered to a measurable thickness that can survive wear and even a gentle polish. With the higher price of gold, this thicker plating is more expensive. We have seen manufacturers cutting costs and reducing the thickness of gold plating. I’ve even had one piece that was plated so thinly, it came off in the cleaner! Watch out for hollow and semi-solid options as well. They are pure gold and less expensive, but are incredibly delicate. Hollow jewelry will dent, break, and become irreparable very quickly.
Higher gold prices have made it more profitable for scam artists and flim-flams to ply their trade. “14K” stamps on fake jewelry have gotten better and the fake gold materials they are using have gotten more convincing. Some jewelers are getting fooled by these better fakes. A heavy gold chain on the streets of a big city being sold off a folding table for $500 seems like a great deal, but when you find out the chain isn’t really gold, I would bet you that table and it’s proprietor are long gone. Make sure to buy from a reputable company, so you’re not wasting your money.
The same goes for silver coins. Years ago, when silver was around $15 per troy ounce, scammers had little motivation for fakes. A fake 1oz silver eagle coin might cost them $7 dollars to make, so their profits would be minimal. But now, we’ve seen “graded and slabbed” fake silver eagles being sold on online auction websites for $60. There are some legitimate deals on gold and silver coins to be found there, but be wary of sellers with only a few listings of the same coin, and with little to no feedback.
As you head into your local jewelry store, expect a little sticker shock because of the higher market prices, and be prepared to budget a little more. But keep your eyes peeled. Many stores use “static pricing”, which is based on the metal market price when they purchased it, and if the market goes up, the price stays the same. If it’s been in stock for a year, it could be substantial savings for you. Early forecasts are suggesting increasing prices this year too, so if you’ve been considering buying a new piece, there’s no better time than now!
