People Rush to Jewelry Stores as Gold Prices Skyrocket

People are increasingly choosing to sell or melt down old jewelry, while others are investing in gold blocks as stable assets.

LOS ANGELES — At the largest jewelry center in the United States, Alberto Hernandez recently activated his machine, which glowed bright orange as he processed roughly 100 grams of various jewelry pieces.

After a short period, the molten gold cooled into a rectangular cast. An X-ray machine revealed it was 56.5% gold, valued at $177,000 based on prevailing market rates.

As global economic uncertainties drive gold prices to record levels, hundreds of thousands of dollars’ worth of gold passes through the doors of St. Vincent Jewelry Center daily.

Many of the center’s 500 independent vendors, including jewelers and gold refiners, report an unprecedented influx of customers.

“We’re seeing many new clients melting their family heirlooms,” stated Sabashden Hernandez, Alberto’s nephew, who works at A&M Precious Metals.

This surge coincides with President Donald Trump’s fluctuating tariff announcements, causing market turmoil and heightening inflation fears.

Across the country, individuals are selling old jewelry for quick cash, while others buy gold to safeguard their investments from the unpredictable stock market.

Jeweler Olivia Kazanjian noted that clients are even bringing in family pieces, including wedding gifts from the 1800s.

Recently, she compensated a client with $3,200 for a 14-karat gold bracelet, which she decided against melting due to its artistic and historical significance.

“It’s a piece of history; if you’re lucky enough to inherit it, it’s part of your family,” Kazanjian explained.

Retailers selling gold bars and other materials are also working hard to keep pace with demand.

“Items come in and go right out,” remarked Edwin Feijoo from Stefko Cash for Gold in Pennsylvania, highlighting the fast turnover of gold sales.

However, not everyone is thriving in the current climate. Jewelers sourcing from abroad have faced decreased profit margins due to high gold prices and additional tariffs.

Puzant Berberian, from V&P Jewelry, mentioned the significant costs incurred on overseas shipments that have affected their business operations.

Customers are also experiencing “sticker shock,” with prices for items like 14-karat gold bracelets increasing substantially.

Some predict these trends will continue as buyers anticipate further increases in gold prices. Sam Nguyen, of Newport Gold Post Inc., expects gold could potentially reach $4,000 to $5,000 per troy ounce by year-end.

Jeff Clark, founder of The Gold Advisor, stated that historical patterns suggest gold prices may rise in response to economic anxiety, again highlighting gold as a safe haven during uncertain times.

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