Evolution of gold price (1990 -2010, dollar per ounce) 1,200
Sep 13 15:04:00 BST
-5.80 -2.01% 1998 2000
Source : FinancialTimes.
«scrap») as prices have been rising (see Graph enclosed). In-
wood with golden carvings was all the rage
vestors are in fact driving the trend. The logic behind the
in the XIXth century in the UK. Before that, Ver-
choice of gold investing may not be for its intrinsic properties,
sailles Castle used abundantly gold as a proof
but rather for other reasons (such as protection against infla-
of the «Solar King» Louis XIV ’s power and for-
tion or speculation). This of course has multiple consequences.
tune, as well as gigantic glass windows and precious woods.
Gold without thinking of it Investing in gold might appear as something safe and attrac-
Gold was also used to redefine the use of light
tive. However, as soon as gold is not valued for its intrinsic pro-
in a time when it was scarcely available. Can-
perties, additional risks appear. For example, unlike other com-
dlelight reflections with golden leaves were
modities such as oil, gold is not consumed: its use is mainly
taking over the room illumination whenever
to store value, to be used in the industry or jewelry. This means
the sun was setting. Today LED light, which
that the marginal price does not reflect an equilibrium of sup-
tends to be cold, can be combined with gol-
ply and demand, but merely speculative perspectives.
den leaves reflections in a living room. The
Buying gold today should merely be driven by other purposes,
ness and warmth in room designs.
combination of the two can deliver brightwhich defy the laws of prices and returns. More than investing and storing value, gold can serve the purpose of enhancing
More than the price and the display of the
day to day life through its visual and plastic qualities. Combined
metal, what makes the inherent quality of
with other metals and stones, it can actually get a higher value
gold is probably its sensuality. Wedding rings
as a piece of art or the result of craftsmanship. More than the
are still essentially made of it, as well as or-
metal, it is the final result of its use which should drive the moti-
namental jewelry. Its popularity is due to the
vation of the buyer.
fact that soon enough it becomes (and stays) warm at the contact of human beings. In times
New uses for gold
of minimalist and cold designs, gold brings
If motorbike aficionados are regularly using this precious metal
back the charm of a familiar and old glowing
to replace chrome, it is actually in interior design that it can shine.
presence. This is in essence the real power of
Furniture has historically been associated with fine gold en-
the precious metal, and the true sense of the lu-
hancements, to highlight carvings and play on contrasts. Ebony
xury that it can bring to our day-to-day lives.
Autumn Edition 2010