Modern Day Gold Rush

There's only 38 shopping days until Christmas and if you're trying to scrounge up some extra cash -- you may just need to go to your jewelry drawer. That's because cashing in on gold has never been easier.

The front counters at Southern Bullion are filled with flashy ear-rings and bright jewels, but Don Smith keeps his real treasure buried back in a safe. That's because nothing right now beats gold... 24, 14, 10 karat -- it doesn't matter. Prices per ounce are the highest in Smith's fifty year career.

"It's the best that I've seen it, even back in the 80's when there was a rush, but it's not like this one," said Smith.

Back then gold went for about $800 an ounce.

This week Smith says it is bringing in at least $1,100 an ounce.

Smith pays for ear-rings that have lost their match, kinked up necklaces -- even broken beads.

"Stuff that's already broke that they don't need," said Smith. "Some people sell jewelry that they haven't worn in years because it's just laying there and one ring can bring hundreds of dollars."

So why the gold rush now, on the middle of a bad economy?

Smith says in bad times -- when the dollar loses its value -- customers buy precious metals to hedge against deflation.

So while some may be bringing in their gold to make ends meet -- others just can't pass up record prices.

"People that's out of work, naturally they'll bring some in," said Smith. "Others aren't out of work, that don't need the money, but they see an opportunity to capitalize on it and they sell it.

"I bought $1,600 worth from one lady yesterday and she thought I'd made a mistake," he said.

While many businesses are cutting back Southern Bullion just opened a new store in Cleveland.