As potential investors, of course, we must know what the price of earth gold is and what effects it has on the price of gold in Indonesia.
First, we must understand how the price of gold is calculated.
Kencana is a commodity that is promoted globally.
The price printed on the global market is the reference for the real gold price.
To see the price of gold in the global market, you can visit financial websites such as Bloomberg or you can also visit websites that focus on gold such as gold price. Org, as well as through Kitco, one of the largest major metal retailers in the world.
When looking at the price of gold, ask to be careful if there are Gold Spot and Gold so that the reference is Gold Spot.
And if there are 2 prices such as the Bid price and the Ask price, don’t worry. The bid price is the price ‘we buy’ (we are the dealer here) and the Ask price is the price ‘we sell’ (we are the dealer here). So as a consumer you want to buy at the Ask price and sell at the Bid price. It should also be noted that the golden symbol on the earth market is XAU.
Well, now try to go to the link above. Of course, the price goes like this( Illustration:$1,284).
That price is the price of gold per Troy ounce. It should be noted that 1 troy ounce is 31.1 grams and the price of gold is always on a US Dollar basis.
Now we have understood the method of looking at the price of gold.
Next, we want to convert that price to the currency of each country. What we need next is the price to convert USD to Rupiah on that day. For example, the number converting dollars to euros is or USD
So,
The international gold price of Troy ounce is first converted to grams
$1,284/31.1 = $41.28/gram
Continue to multiply by the euro exchange rate
After we see, several factors become a reference for the ups and downs of gold prices.
The first is of course the price of world gold itself (spot gold). World gold prices can fluctuate due to different factors.
The second is the dollar exchange rate.
If the exchange rate of your currency weakens, the US dollar becomes expensive and the price of gold goes up. (*)
