The price of gold is determined by traders buying and selling futures, not by the average Joe buying rings and necklaces at jewelry stores. I get how the price goes up in the futures market. But, I do not get how a dealer in the real world would make a profit if they are the last in the chain buying the gold. Frankly, who is the last in the chain? For instance, I have some old jewelry. I sell it to a cash-4-gold outlet. They of course are not giving me $1800-per-oz. They are a middleman who sells it again to make a profit. But to who? All the jewelry stores are advertising silver jewelry nowadays - why - because gold jewelry is too expensive, no one is buying the stuff. So who's buying all this gold in the end? One thing is for sure, it's not the one's making the price go up. The traders create the demand but are not holding any gold. Who's ending up with all the gold?