31 Oct 2016
On Saturday, the Dubai Gold Exchange announced they had successfully gained a trading licence from the Shanghai Gold Exchange to list futures on the Chinese exchange.
This is the first time a gold future denominated in the Chinese Renminbi has been offered outside mainland China. More importantly the Dubai exchange will use the Shanghai benchmark as its pricing mechanism and not the U.S. centric COMEX paper based contract. The SGE is the world’s largest physical gold exchange and has facilitated the sale and purchase of 7.838 metric tons.
The new contract will allow institutional clients to access the Chinese gold ...