How can all the gold buyers in New York make a profit? The average person looking to sell gold may raise such a question. He or she might look at the sheer volume of gold buyers NY establishments and assume something must be amiss. How can all these buyers be legitimate? Could they really sell all the gold they buy and make a profit? The simple answer to this pointed question is yes. A basic understanding of the gold market will reveal how this is so.
Gold has a market value per ounce that goes up and down each and every day. A gold buyer simply has to buy low and sell high. If the gold buyers NY establishment acquires $1,800 worth of gold in a single day and the price of the gold rise to $1,995, then a $195 profit has been made on that day’s gold buy alone.
The other benefit that a gold buyers NY establishment has working in his favor would be the issue of time. In other words, the buyer is not engaged in gold day trading. He does not have to buy and sell gold on the same day. Melted down gold bars could be held onto for weeks or months at a time. Gold also maintains immediate liquid value. That means it can be sold at any time so there is not reason to worry about a date certain in which the gold must be liquidated. The buyer can hold onto the gold for quite some time and then sell when the rising price of gold is most profitable. Once sellers take all this information into consideration, the entire process of selling gold makes much more sense. Many of the concerns about scams might also end up being put to rest as well.