LOS ANGELES (AP) — At the U.S. ‘s largest jewelry hub, St. Vincent Jewelry Center in downtown LA, the gold rush is on. On a recent day, Alberto Hernandez fired up his melting machine. Once it glowed bright orange, he added rings, earrings, and necklaces weighing just under 100 grams. After melting, an X – ray showed the metal was 56.5% gold, worth $177,000 that day. With gold prices hitting record highs due to global economic jitters, hundreds of thousands of dollars’ worth of gold pass through the center daily.
The 500 independent tenants, including jewelers and refiners, have never seen such a customer influx. Sabashden Hernandez noted that rappers and new customers, bringing in family jewelry, are eager to melt their pieces down for cash.
The gold price rally follows President Donald Trump’s shifting tariff announcements, which roil financial markets and stoke inflation fears. Across the country, people are selling old jewelry, while others buy gold, seeing it as a safer bet than stocks.
Los Angeles jeweler Olivia Kazanjian said people are even melting family heirlooms. She bought a 14 – karat gold bracelet with enamel work, paying the seller $3,200 based on gold weight, but plans to preserve it for its art and history.
Gold – selling businesses can’t keep up with demand. Edwin Feijoo, who buys gold from across the U.S., said items sell as soon as they arrive.
Yet, the surge isn’t a boon for all. Jewelers sourcing from overseas face squeezed profits due to high gold prices and tariffs. Puzant Berberian, for example, paid an extra $16,000 for a shipment and saw customers shocked by price hikes.
Some predict gold’s rise will continue. Sam Nguyen believes it could hit $4,000 – $5,000 by year – end, and Jeff Clark, an investment advisor, agrees, noting gold’s role as a safe haven during economic uncertainty.
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