Gold Trades at the Level of $4606 per Troy Ounce

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Gold is trading around the level of $4606 per troy ounce.

On Thursday, gold (XAU/USD) is down by 0.4%, trading at around $4606 per troy ounce (31.1 g).

Platinum (XPT/USD) is down by 2.5% on Thursday, with its price at $2343 per ounce.

The main trading venues for precious metals are concentrated in the London Over-the-Counter market (LBMA), the American futures market (COMEX), and the Shanghai Gold Exchange (SGE).

These three centers account for over 90% of the global trading volume:

1. LBMA (London): The center for over-the-counter (OTC) trading, where the main exchange of physical metals takes place through large banks and dealers, setting standard prices (fixing);

2. COMEX (New York): The main venue for trading futures and options on precious metals, setting benchmark prices in the US;

3. SGE (Shanghai): The key Asian center, which is growing, offering physical gold trading and influencing Asian demand and supply, especially in the context of China.

It is worth noting that the gold market demonstrates high liquidity:

- Futures trading provides an average daily turnover of around $50-70 billion;

- The over-the-counter segment (OTC) shows even larger volumes — about $60-80 billion per day.

Review presented by Yulia Grishchenko, member of the Expert Council on Listing of the Moscow Exchange, PhD in Economics, Head of the Department of Financial and Investment Management at the Faculty of "Higher School of Management" of the Financial University under the Government of the Russian Federation.