Gold prices fall 0.7% to $4507 on market trading

© ООО Региональные новости

In the precious metals market, gold (XAU/USD) is experiencing a decline of 0.7%, with the current quote standing at $4,507 per troy ounce (31.1 grams).

Platinum on the spot market (XPT/USD) is up by 1%, trading at $1,940 per troy ounce (31.1 grams).

The main trading hubs for precious metals are concentrated in the London Over-the-Counter (OTC) market (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 center for OTC trading, where the majority of physical metal exchanges occur 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 the standard prices in the U.S.

3. SGE (Shanghai): The key Asian hub, which is growing and offering physical gold trading, influencing Asian demand and supply, 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 at the Department of Operational and Sectoral Management of the "Higher School of Management" Faculty at the Financial University under the Government of the Russian Federation.