What joys do we have to look forward to in 2012 in the jewellery trade?
Let's think.
Will gold finally rejoin the real world and decide to halve in price, giving us all a boost?
Even stone sellers are reporting a slowing in sales in recent years. Their stones haven't moved in price, but the quadrupling of the cost of gold settings has lifted heavier pieces beyond the reach of many buyers.
The number of items being assayed was down by 40% in October/November 2011 by number. By weight that is probably even worse.
Gold's price, though, has fallen. It went from $1920, and nearly went through $1500 this last week heading back down, and it was seconds away from GBP 1000 as well. It would make sense that falling demand for the metal worldwide would have an impact on its price. That would be my sincerest wish for the trade in 2012 - for gold to halve in price back to the level of affordability.
The beginnings of a fall in price is, initially no doubt making buyers feel wary. That could be why the assay figures were so poor. If gold is going to be much cheaper soon, why rush out and buy? We need the price down to rebuild the market sure enough, but we need it down quick and a clear cut market bottom in place! A gradual decline could be debilitating to demand just as surely as the relentless rise of the last nearly ten years. We need a crash!
Happy New Year! Fingers crossed...
No comments:
Post a Comment