Gold Dips 0.5% to Trade Near $4522 per Troy Ounce on Thursday

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On Thursday, gold (XAU/USD) is down by 0.5%, trading around $4522 per troy ounce (31.1g).

Platinum (XPT/USD) is also down by 0.2% on Thursday, with its price standing at $2080 per ounce.

The main trading hubs for precious metals are concentrated in the London Over-the-Counter (OTC) market (LBMA), the American 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 hub where the majority of physical metal exchanges take place through major banks and dealers, setting benchmark prices (fixing);

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

3. SGE (Shanghai): The key Asian hub, which is growing by 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 provides an average daily turnover of around $50-70 billion;

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

This overview was presented by Alexey Grishchenko, Ph.D., Professor of the Department of Operational and Sectoral Management at the Higher School of Management of the Financial University under the Government of the Russian Federation.