The spot price of gold is the market price, the price that the gold will sell on the spot, at that time of that day.
The spot drive for gold is constantly changing and fluctuates on a minute-to-minute basis, just like any commodity traded on the market. Typically, spot gold is quoted in price per ounce using U.S. Dollars.
Like most commodities, the price of gold is driven by market conditions – supply and demand, including speculative demand. There are many factors that drive spot gold prices. It is not only bought as an investment, but also for use in other industrial, dental and medical uses and for jewelry. Some of the major influencers on the spot price include investment demand, jewelry demand, currency markets, inflation/deflation, monetary policy including interest rates, risk appetite of the investor, politics and equity markets. The spot price is the generally accepted market price for a raw ounce of unrefined gold.