Reeling from precious metals prices? Zealously recycling unsold goods and every speck of scrap to stave off purchases of new metal for as long as possible? Saying prayers, crossing your fingers, and knocking on wood in hopes that prices will finally fall a little?

You’re far from alone, if that’s any comfort. But like everyone else in the jewelry industry, your company probably faces disruptively high gold, platinum, palladium, and silver prices at least through the rest of 2008.

That’s the word from Johnson Matthey, one of the leading suppliers of platinum group metals, and the CPM Group, a top commodities research firm. Their market experts project that this year will bring no relief from the recent years of price escalation, which in 2006 and 2007 hit double-digit percentage increases for all four metals.

Typical supply and demand issues—flooded mines here, changing industrial uses there—are responsible for some of the price movement. But the key reason appears to be the macroeconomic problems afflicting the world—the U.S. in particular. They’ve sent investors flocking to precious metals, which are a traditional safe haven during periods of economic uncertainty. With credit tight, the U.S. dollar weak, financial markets exhibiting instability, and inflation rocking oil, grain, and other commodities markets, gold has become especially attractive. But other precious metals are being snapped up, too, aided by the recent emergence of exchange-traded funds, which make it easier for individuals to invest in these materials.

The following is a recap of 2007 and prognosis for the rest of 2008, drawn from reports issued by Johnson Matthey and the CPM Group. Their research and analyses point to another year—at least—in which jewelry manufacturers will have to hunker down, cut or pass along costs where possible, and find ways to create goods that appeal in a highly price-sensitive marketplace.