Reference
The gold price in Canada, explained
The headline gold price is only the starting point. Knowing how spot price, purity and dealer premiums fit together is what lets you judge a fair offer — whether you're buying or selling.
What "spot price" actually means
The spot price is the going rate for one troy ounce of pure (24K) gold on global markets, quoted here in Canadian dollars. It reflects large wholesale trades and moves continuously while markets are open, driven by the US-dollar gold price and the CAD/USD exchange rate. It's a reference point — not the price any individual will pay you for a ring.
Per ounce vs. per gram
Gold is quoted per troy ounce, which is 31.1035 grams — heavier than the everyday 28-gram ounce. To get the price per gram of pure gold, divide the spot price per ounce by 31.1035. Since most jewelry isn't pure, multiply that per-gram figure by the item's purity: 0.417 for 10K, 0.583 for 14K, 0.750 for 18K, 0.917 for 22K.
Why dealers pay below spot
No buyer pays full spot for scrap or second-hand gold. They need margin to cover refining, assaying, overhead and their own profit. For scrap jewelry, expect offers somewhere below the pure-content value; for recognized bullion coins and bars, offers sit much closer to spot because there's little processing involved. A transparent dealer will tell you their percentage of spot up front.
Premiums when you buy
When you buy gold, you pay above spot. That extra is the premium — it covers minting, distribution and dealer margin, and it's larger on small items and popular coins than on big bars. Buying a one-ounce Gold Maple Leaf carries a modest premium; buying a one-gram bar carries a proportionally larger one. Comparing premiums between bullion dealers is how you buy well.
How to use the price day to day
Check the spot price the same day you plan to buy or sell, since it changes constantly. Use it to sanity-check offers: work out your gold's pure-content value, then see how close each dealer's quote comes. If you're buying, compare the all-in price (spot plus premium) across dealers rather than the headline spot figure. The price tells you the floor and the ceiling — comparison shopping does the rest.
Find dealers to compare
Browse bullion dealers and coin shops by province and city to compare buy and sell prices near you. For selling, the directory lists gold buyers, pawn shops and jewelers side by side so you can gather several quotes against the day's spot price before you decide.