Learn How Your DSO Can Make the Most of the Hot 2024 Metal Market

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Gold prices soared to unprecedented levels in 2024 with standout highs in April, September, and October. This historic time for gold presents a big opportunity for the dental industry to collect higher returns for scrap precious metal that is produced in both dental practices and labs.

DSOs that do not have a centralized program to collect and refine crown/bridge extractions or lab scrap risk missing out on easy extra revenue with the added benefit of the current hot metal market.

What drives precious metal pricing?

Originally projected to reach $2,500 per ounce in the fourth quarter of 2024, gold surpassed expectations, hitting $2,663 in late September and $2,688 on October 17^th.

This year’s record-breaking prices can be attributed to the following:

Inflation
Geopolitical tensions
High interest rates
Increased central bank purchases

Historically in the third quarter, gold prices experienced an upward trend with substantial growth in Q3 2024.

Price Fluctuation Factors

Gold prices are influenced by a complex range of factors due to its global trading nature. Key drivers include:

S. monetary policy (e.g., interest rates, inflation)
Stock market performance
Global economic conditions
Geopolitical events and political instability

Aside from general supply and demand, monetary policy – especially U.S. Federal Reserve decisions – often impacts gold prices. Typically, higher interest rates lower gold’s appeal by making interest-bearing assets more attractive, but this relationship is not always straightforward. Investors seek gold as a safe haven asset with low correlation to other asset classes, and it remains a reliable store of value during economic downturns and geopolitical tensions.

Metal Refining in Practice

If your DSO includes any of the following, there is opportunity to sell dental scrap:

Oral Maxillofacial Surgery
General and Cosmetic Dentistry
Periodontology
Prosthodontics

Dental crowns, bridges, and PFMs are alloyed with gold, platinum, palladium, and silver. These precious metals are valuable, and DSOs and Group Practices who fail to recycle these materials or use third-party cash buyers are missing a golden opportunity. Whether you need to improve your current recycling program or build one from scratch, Garfield’s refining solutions will help you get the most from your dental scrap.

4 Ways to Reinvest Scrap Value Back into your Offices

Apply toward Profit/Loss or operational costs
Upgrade platforms to improve practice management, RCM, or other workflows
Use toward office bonuses, team building or recreation funds
Donate to in-house charity or philanthropic endeavors

When it comes to refining, experience and expertise are key. Refining at regular intervals aligns with an investment strategy known as Dollar-Cost Averaging (DCA), proven to mitigate the effects of gold price fluctuations and avoid the guesswork of “timing the market.” When onboarding a new DSO, Garfield Refining establishes a collection schedule and shipping cadence for all offices to protect them from market volatility.

Founded in 1892, Garfield Refining has been operating in Philadelphia, PA as one of North America’s oldest and most respected precious metal refineries. They refine metal for a variety of industries, and their expertise in dental refining is unrivaled.

The industry-renowned recycling program developed in 2017 is expertly tailored to service and scale with emerging, mid-market, and enterprise organizations. Since the launch of the designated DSO program, they have partnered with more than 85 organizations including six of the top 10 largest enterprises. Their veteran DSO experience paired with a unique, results-driven method has cemented Garfield as the refining authority for corporate and multi-site dentistry.

To learn more about the Garfield DSO program, click here.

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