Gold Prices through the Years

Gold has been used as a way to barter and trade for centuries. It is only in modern time that the value of gold has been associated with the US dollar.

Before the evolution of the modern paper currency, gold was the trusted form of money for buying goods and services.

One the first true statements on the value or price of gold was in 1944. Where representatives from dozens of countries met in New Hampshire and created what was know as the gold standard. The original price of gold was $35 an ounce.

The price of $35 an ounce would stay flat for many years until high inflation in the 1960's changed the gold market. Late in the 1960's the price of gold was starting to be quoted higher than the gold standard of $35 an ounce.

In 1974 President Ford signed into law a bill that gave American citizens the right to own gold. This new bill increased the demand for gold which created a supply and demand that affects the spot price of gold today.

Within 1 year from signing this bill gold had reached $160 an ounce.

Gold which is now known as a safe haven showed this as in example in the financial issues late in the 1970's where gold reached $300 per ounce. Gold at one point at the end of the decade exceed $800 an ounce though quickly dropped in price by early 1980.

Again during economic turmoil like the stock market crash of 1987 gold hit higher prices to $500 per ounce.

The economic stress that Americans live in today has seen record gold prices. With the current record recorded in June of 2010. Gold prices have had an increase in value for 9 years in a row. If 2010 holds up the way it began the number will reach 10 years in a row.

Fears of an uncertain economic future have some experts predicting that the price of gold will stay strong into 2011 though there is not guarantee that this will occur.