China’s spot Gold trade volume up near 60% on year to 18,486 mt
China’s spot gold trading volume in 2014 hit 18,486 mt, up almost 60% from 11,600 mt traded in 2013, the Bureau of Trade said in a report on its website Thursday, February 26.
The rise was attributed to growing gold output in China, as well as more active investment in gold products last year.
China Plans Yuan-Denominated #Gold Fix This Year -sources –
SINGAPORE, Feb 27 (Reuters) – China plans to launch a yuan-denominated gold fix this year to be set through trading on an exchange, sources familiar with the matter said, as the world’s second-biggest bullion consumer seeks to gain more say over the pricing of the precious metal.
The Chinese benchmark would be derived from a new 1 kg contract to be launched on the state-run Shanghai Gold Exchange, a senior source directly involved in the process told Reuters.
China, also the top producer of gold, feels its market weight should entitle it to be a price-setter for bullion and it is asserting itself at a time when the established benchmark, the century-old London fix, is under scrutiny because of alleged price-manipulation.
If the Chinese fix takes off, it could add to the pressure on the London benchmark, which is used worldwide by producers, refiners and central banks to price holdings and contracts, although the two could exist side-by-side.