Gold, Silver, and the Market Right Now: What’s Actually Going On?
If you’ve glanced at the gold or silver price lately and thought, “What on earth is happening?” — you’re not alone.
Since October, the precious metals market has been anything but calm. Gold has climbed rapidly, silver has followed, and the swings have been sharp enough to make even seasoned buyers pause. As of early 2026, trading remains extremely volatile, with prices moving quickly and often unpredictably. I don’t have a crystal ball, but it’s fair to say: this is not a normal market moment.
From $35 an Ounce to Today
Before the gold standard, money wasn’t one simple, stable thing.
In the U.S. and much of the world during the 1700s and early 1800s, currency was a mix of gold coins, silver coins, and paper notes issued by individual banks. Some were trustworthy. Some were not. Inflation, bank failures, and financial panic were common, and confidence in money depended heavily on who issued it—and whether you believed they could make good on it.
As economies industrialized and global trade expanded, that patchwork system became a problem.
Why the gold standard was created
The gold standard emerged in the 19th century as a way to bring order and trust to growing economies. By tying paper money to a fixed amount of gold, governments were essentially saying: this currency represents something real, scarce, and finite.
The United States formally adopted the gold standard in 1900, fixing gold at $35 per ounce. That price wasn’t market-driven—it was a rule. Gold didn’t swing with the news, react to fear, or spike on speculation. It stayed flat because it was required to.
This system stabilized currencies, made international trade easier, and limited runaway inflation—but it came with tradeoffs.
Why It Ended
As economies grew larger and more complex, tying money to a finite physical resource became restrictive. Governments had limited flexibility to respond to recessions, wars, or financial crises, and economic growth was constrained by gold reserves.
Over time, the system loosened. In 1971, the U.S. officially ended the gold standard altogether.
That was the turning point.
What Happened After $35
Once gold was allowed to trade freely, the price moved almost immediately. By the late 1970s, gold had climbed past $800 per ounce, shocking anyone used to decades of stability.
Since then, gold has behaved exactly as a free-floating asset does:
Long periods of relative calm
Sharp spikes during uncertainty
Strong upward movement during inflationary or unstable times
Today’s gold price would have been unimaginable during the gold-standard era—but this isn’t a break from history. It’s the continuation of it.
Gold is no longer the backbone of money. It’s a barometer of confidence.
When trust in currencies, systems, or global stability weakens, gold tends to rise. Over the past two years, a combination of global uncertainty, institutional buying, tightening physical supply, and skepticism toward traditional financial systems has pushed gold dramatically higher—nearly doubling in that time.
And when that much metal tries to move through the system all at once, things back up.
Why the System Feels Jammed Right Now (The Simple Version)
Imagine there’s a big factory that melts old jewelry, silverware, and coins into clean, usable metal. That factory can only melt so much metal each day.
Now imagine everyone suddenly shows up at once saying,
“I want my metal melted—and I want my money now.”
That’s what’s been happening.
Silver Was First
In the fall, sterling silver prices jumped, and when that happens, people rush to sell. Flatware, scrap jewelry, estate silver—huge volumes all arrived at refineries at the same time.
By December, the line was so long that much of the silver refining world slowed dramatically, and in many cases nearly shut down altogether. This wasn’t just a local issue—it rippled outward and, from what we’re being told, even affected the London market, a major hub for global metals trading.
Why couldn’t they just go faster?
Refineries don’t work like piggy banks—they work on credit.
Metal comes in
Refineries advance money before it’s fully processed
That metal backs loans and credit lines
Once refined, it’s sold and everything balances
When prices rise slowly, this works just fine.
When prices jump quickly, people want their money faster than metal can physically be processed. The system clogs. Everyone has to slow down, whether they want to or not.
That slowdown is what people experience as a “freeze.”
Now gold is feeling it too
As gold has surged, we’re now seeing similar stress show up there. Gold hasn’t stopped trading, but activity has become more cautious and more volatile. Prices bounce because everyone is reacting in real time to uncertainty.
Not because gold suddenly changed—but because too many people are trying to move through the system at once.
So… Why Did Prices Spike in the First Place?
People keep asking:
Is it China?
Is it electric vehicles?
Is it solar?
Is it inflation?
The answer is: it’s not just one thing.
Silver is heavily tied to industry—electronics, energy, and manufacturing. Gold is tied to trust, stability, and long-term security. Over the past two years:
Global uncertainty increased
Institutional buying increased
Physical metal movement tightened
Confidence in traditional financial systems weakened
That combination goes a long way toward explaining why gold has risen so dramatically.
The Calm Part (Because There Is One)
Systems like this aren’t broken—they’re overloaded.
When the line shortens, refineries catch up, credit pressure eases, and trading becomes smoother again. Markets don’t stay in panic mode forever.
Are We Still Buying Gold and Silver?
Yes—absolutely, but in smaller quantities. Please visit, message or call if you have large quantities of metal to trade.
We continue to purchase:
Gold of any content (excluding gold-filled or plated)
Fine and sterling silver
Platinum
Palladium
That said, in a market this volatile, timing matters. If you’re not in a hurry, we recommend waiting for our upcoming Estate Jewelry Buying Event in May, when we’re specifically set up to handle higher volumes and offer the best possible experience.
👉 Learn more about the May Estate Jewelry Buying Event
Thinking About Buying Right Now?
If the gold price feels intimidating, take a breath.
A few important things to remember:
14K gold, the standard for most U.S. jewelry, is only 55.3–55.8% pure gold
Small market fluctuations don’t meaningfully impact finished jewelry prices
It’s the thousand-dollar jumps, not the hundreds, that truly move the needle
And yes—that’s where we are right now. But that doesn’t mean everything suddenly becomes unreachable.
Smart Alternatives Right Now
If gold prices are giving you sticker shock, there are still very sensible ways forward:
Trade instead of buying outright
If you already own gold, consider trading it toward something new. When you trade high, you’re also buying high—which helps even things out. We also pay more in trade value than for cash purchases.
Look beyond gold
There are beautiful, lasting options that haven’t seen the same surge:
Sterling silver (even at record highs, still very approachable)
Silver, in particular, has risen—but compared to gold, it remains incredibly affordable and wearable.
The Bottom Line
Yes, the market is jumpy right now—but this isn’t a reason to panic or freeze.
Gold markets move in cycles. Jewelry is long-term. And there are always smart, creative ways to buy, sell, or trade—especially when you work with someone who’s watching the whole picture, not just today’s ticker.
If you’re unsure what makes sense for you, that’s exactly the conversation we’re here for.
