Looking for a definition of gold spot price? Read on.
Gold spot price is a market price of gold and is used only to trade gold on the markets.
Gold spot price is something that professional speculators who bet on the future price of gold are interested in. However, it has nothing to do with those people who want to get their hands on the physical metal.
An example of gold spot price?
Now, let’s look at the example of gold spot price.
Go to good old Google and type in ‘gold price per gram’, the first price that comes up is the spot price of gold.
In contrast, if you go to a website of some gold bullion retailer, for example, APMEX, their price per gram is a retail price.
A retail price of gold is always above a spot price since retailers are charging a premium on top.
So, as a consumer, you can’t buy gold at a spot price.
But you can sell gold at a spot price. For example, that’s exactly what, Suisse Gold, a reputable gold bullion dealer, offers. If you store gold in their vaults and then want to sell some back, the company will buy it back at a spot price!