Gold Prices Soar Amid Geopolitical Uncertainty

The price of gold has been on a rollercoaster ride in 2026, reaching an all-time high of over $5,000 per ounce earlier this year before experiencing a downturn. According to James Constantinou, chief executive and founder of Prestige Pawnbrokers, the precious metal's value is closely tied to geopolitical uncertainty, economic instability, and the US dollar.

Constantinou attributes the recent price increase to growing demand from tech firms, which use gold in their products due to its unique properties. He notes that gold is less volatile than silver and often serves as a safe-haven asset during times of crisis.

When it comes to buying gold jewelry, Constantinou emphasizes the importance of hallmarks and purity levels. In the UK, gold jewelry must be hallmarked, with numbers indicating its purity: 999 represents 23 carat (ct) or 99.9% pure gold, while 750 signifies 18ct or 75% pure gold.

Constantinou advises buyers to opt for higher purity levels, such as 22ct or 24ct, which contain even more gold than lower purity options like 9ct. He also stresses the significance of weight, as a piece with a higher weight but lower purity may still be worth less than one with a lower weight and higher purity.

When it comes to investing in gold jewelry, Constantinou recommends choosing simple designs, such as bangles or chains, which are easier to value. He also notes that older gold jewelry can be more valuable if it is rare, antique, or made by a well-known designer like Cartier or Van Cleef & Arpels.