1. What is raw gold and how is it manufactured?
Raw gold is gold that has been extracted from the earth in its raw, unprocessed form. Gold is extracted from mines using processes such as drilling, blasting, and grinding. It is then processed to remove impurities through techniques such as flotation or cyanidation, and finally smelted into ingots or bars.
2. What is the difference between 24, 22 and 18 karat gold?
- 24 karat: It is 99.9% pure gold. It does not contain any percentage of other metals.
22 karat: It contains 91.7% gold and the rest is other metals such as copper.
18 karat: It contains 75% gold and the rest is other metals.
The higher the karat, the purer the gold.
3. What are the most important properties of gold that make it a valuable material?
Gold has a number of properties that make it a valuable material:
Purity and stability: It does not oxidize or react with other materials easily.
Moldability: It can be easily shaped into different shapes.
Rust and corrosion resistant: It does not deteriorate over time.
Rare: It is characterized by its purity and rarity in nature.
4. What are the most important uses of gold in non-traditional industries?
Gold is used in many non-traditional industries such as:
Electronics: Gold is used in the manufacture of microconductors and switches in electronic devices due to its good conductivity.
Medicine: It is used in the treatment of some diseases and dentistry (such as fillings and fixtures).
Space: Gold is used in the manufacture of space equipment due to its ability to reflect infrared rays and protect devices from heat.
5. How is the price of gold determined globally?
The price of gold is determined by global exchanges such as the London Metal Exchange and the New York Comex. The price depends on supply and demand, as well as economic factors such as inflation, interest rates, and the conditions of global financial markets.
6. What are the most important gold producing countries in the world?
The most important gold producing countries include:
China
Australia
Russia
United States
South Africa
These countries have very large production in gold mining.
7. What are the criteria that must be met by reliable companies in the gold trade?
Trusted companies must adhere to several criteria:
Transparency in prices and transactions.
Legal licenses and permits.
Reviews and recommendations from clients and other investors.
Reliance on certified and polished gold according to international standards.
8. How can gold fraud be detected? What are the methods used?
- Testing with magnet: Gold does not attract magnets, so if gold is magnetic it is fake.
Acidity test: Using nitric acid or sulfuric acid to test the purity of gold.
Weight and density test: Comparing the weight to the usual density of gold.
9. What are the differences between white gold and yellow gold?
- Yellow gold: It is pure gold and is used with a little copper or silver to give it more hardness. White gold: It is prepared from alloys of gold with metals such as palladium or silver, and may be plated with rhodium to give it a shiny white color.
10. Why is gold considered a safe haven for investors in times of crisis?
- Gold is considered a safe haven because it is not significantly affected by economic crises such as currency devaluations or sudden declines in stock markets. It is considered a safe investment to preserve value during periods of economic turmoil.
11. What are the most important global gold exchanges?
- London Metal Exchange
New York Commodity Exchange (COMEX)
Shanghai Gold Exchange
These exchanges are among the largest global markets for trading gold.
12. What are the challenges facing the gold industry today?
- Increased costs of gold extraction: including environmental costs and modern equipment.
Sustainability and environmental issues: such as the environmental impacts of mining.
Price volatility: Price volatility can affect investments in gold.
13. How does geographical location affect gold prices?
Geographic location affects the costs of extracting gold. For example, places with rich gold resources can extract it at lower prices, while places that require complex technologies may increase production costs, affecting world prices.
14. What factors affect gold price fluctuations?
- Economic factors: such as inflation, interest rates, or dollar fluctuations.
Demand and supply: levels of demand for gold from industries and investors.
Geopolitical events: such as wars or political crises may lead to increased demand for gold as a safe haven.
15. What is the difference between solid gold and bullion gold?
- Gold: Gold that has been shaped into jewelry or art pieces, and may contain other metals to strengthen it. Bullion gold: Pure gold that has been melted into bars or large pieces and is used primarily for investment.
16. How is gold purity assessed?
Gold purity is evaluated using the karat scale. Purity is determined based on the percentage of gold in the alloy or item. Tests such as acid tests and density tests can also be used to determine the purity of gold.
17. What are the most popular and trusted brands in gold?
Some of the most popular and trusted brands include:
PAMP Suisse
Valcambi
The Royal Canadian Mint
Goldcorp
These companies are known for their high quality and certified products.
18. How is gold extracted from the earth?
Gold is extracted through several methods, the most famous of which are:
Surface mining: such as open pit mining to extract gold from surface layers.
Underground mining: where drilling is done to reach the raw materials found deep in the earth.
19. What is the risk of repeated melting of gold on its quality?
Repeated melting of gold may cause it to lose some of the added metals, affecting its purity and appearance. It may also weaken its physical properties such as durability and luster.
20. What is the relationship between gold and the US dollar?
- The price of gold often moves inversely to the US dollar; when the dollar rises, the price of gold falls, and vice versa. This is because gold is considered an investment alternative to the dollar during periods of inflation or currency weakness.