What is an "oz" in Gold?
An "oz" in gold refers to a troy ounce, a unit of weight specifically used for measuring precious metals like gold, silver, and platinum. The troy ounce is different from the standard (avoirdupois) ounce used for other goods.
Key Details:
- Weight:
- 1 troy ounce = 31.1035 grams.
- It is heavier than the standard ounce, which weighs 28.3495 grams.
- Usage:
- The troy ounce is the standard unit of measure in international markets for gold and other precious metals.
- Gold prices are typically quoted per troy ounce.
- Historical Context:
- The troy ounce originated from the Troyes market in France during the Middle Ages and has been used in the bullion and precious metals markets for centuries.
- Conversion to Grams and Other Units:
- 1 kilogram (kg) = 32.1507 troy ounces.
- For everyday use, gold can also be measured in grams, kilograms, or tolas (in South Asia).
Gold Purity Measurements (Karats)
Gold purity is commonly measured in karats (K). A karat is a unit that measures the purity of gold, with pure gold being 24 karats. The higher the karat number, the purer the gold.
Gold Purity Scale:
- 24K: Pure gold (99.9% pure).
- 22K: 91.67% pure gold (most common in jewelry).
- 18K: 75% pure gold.
- 14K: 58.33% pure gold.
- 10K: 41.67% pure gold (minimum legal gold purity in the U.S.).