You have some gold you want to sell to gold buyers Melbourne. Yet, you looked at the gold price that hit a four-week high Tuesday as the dollar was weaker. The spot gold went up and was the highest since July.

Still, you had so much to do and no time to head out to the gold buyers shop. So now, you gather your items a few days later and check the dealer's website to find that the gold price has dropped. You think, bummer, I should have made time last week.

Then you start wondering what influences the gold price. Luckily, we spoke to a few gold buyers to find out. According to the dealers, one thing that can affect the gold price is monetary policies. It is one of the biggest influencers as it is controlled by the Federal Reserve.

So the interest rate can influence the prices of gold as it is known as an opportunity cost. So, it gives a near-guaranteed gain in one investment with a potentially more considerable increase in another. Thus, when interest rates are low, things like CDs and bonds yield a lower return than the inflation rate.

Hence, you have nominal gains but money losses. For example, gold is an attractive investment despite a 0% yield as the interest-based asset is low. You can say the same when rising interest rates boost interest-bearing assets pushing costs higher.

So, investors would forgo gold as a lending rate rises as it would be getting higher returns. Furthermore, the Federal Reserve can also move gold markets after holding meetings to discuss the economy and the future of monetary policies.

If they say the interest rate will rise in the future, then gold tends to do poorly. However, if the rates remain steady, then the gold price rises. Another influencer is economic data from wage reports, job reports, manufacturing data and more based on the GDP growth.

These can also influence the Federal Reserve's monetary policy decision-making. For instance, when there is lower unemployment with job growth, you get GDP growth, pushing gold prices lower. However, with weaker job growth, the opposite happens as it affects interest rates and increases gold prices.

According to many gold buyers Melbourne, supply and demand can influence the gold price. So, increased demand with low supply pulls prices higher. While an oversupply with a weak demand pushes prices lower. Then, you have inflation that also impacts gold prices.

When inflation rises, it pushes gold prices to sky-high; when it is at a low, it deflates gold. So, lastly, you have uncertainty that influences the gold price. So when you look at instability or political uncertainty, it can affect the gold price.

For example, the stock market gives you certainty and is the biggest enemy of gold prices. When you do not know how Brexit turns out for Europe and the UK or know who will be the next US president. These contribute to uncertainty globally, resulting in gold prices rising.

So, the next time you see the gold price at an all-time high, grab your gold and run for the door to head to a local gold buyer near you. But, unfortunately, tomorrow might be too late as the gold price can drop any time.