Gold prices dip 0.6% in precious metals market

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Gold (XAU/USD) is currently trading at $4,800 per troy ounce (31.1 grams), down 0.6%.

Platinum (XPT/USD) is also down 1%, trading at $2,100 per troy ounce (31.1 grams).

The major trading hubs for precious metals are the London Bullion Market Association (LBMA), the U.S. futures market (COMEX), and the Shanghai Gold Exchange (SGE).

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

1. LBMA (London): The OTC market where major banks and dealers trade physical metals, setting benchmark prices (fixing);

2. COMEX (New York): The primary platform for trading futures and options on precious metals, setting the U.S. benchmark prices;

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

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

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

- The OTC segment (OTC) shows even larger volumes—approximately $60-80 billion per day.

Overview provided by Alexey Grishchenko, Doctor of Economics, Professor at the Department of Operational and Sectoral Management, Faculty of "Higher School of Management", Financial University under the Government of the Russian Federation.