You are here

Reuters: CME developing European gold futures contract

Section: Daily Dispatches

Is it to increase deliveries, as the sources tell Reuters, or just to paperize London more?

* * *

By Clara Denina and Jan Harvey
Reuters
Thursday, May 21, 2015

LONDON -- The Chicago Mercantile Exchange is developing a European gold futures contract to serve customers in London, three sources familiar with matter said, which could present a direct challenge to London's traditional cash market.

The contract would mirror existing futures traded on CME's New York COMEX platform, which has a 100-ounce contract size and typically trades volumes of between 15 million and 20 million ounces daily.

That is the world's most liquid gold contract, essentially setting the benchmark for bullion futures globally.

"The CME has been working on a loco (deliverable in) London futures contract for a while," one source familiar with the matter said. "Comex futures are deliverable at Comex warehouses, but instead with London futures you would take delivery at your London vault. Potentially they would see a lot more futures being delivered if customers could have London gold." ...

... For the remainder of the report:

http://uk.reuters.com/article/2015/05/21/uk-gold-futures-cme-idUKKBN0O61...



ADVERTISEMENT

Silver mining stock report comes with 1-ounce silver round

Future Money Trends is offering a special 18-page silver mining stock report about how to profit with the monetary and industrial metal, and it comes with a free 1-ounce silver round. Proceeds from the report's sales are shared with the Gold Anti-Trust Action Committee to support its efforts to expose manipulation in the monetary metals markets. To learn about this report, please visit:

http://fmturl.com/gata/



Join GATA here:

New Orleans Investment Conference
Hilton New Orleans Riverside Hotel
Wednesday-Saturday, October 28-31, 2015

https://jeffersoncompanies.com/new-orleans-investment-conference/home

Support GATA by purchasing recordings of the proceedings of the 2014 New Orleans Investment Conference:

https://jeffersoncompanies.com/landing/2014-av-powell

Or by purchasing DVDs of GATA's London conference in August 2011 or GATA's Dawson City conference in August 2006:

http://www.goldrush21.com/order.html

Or by purchasing a colorful GATA T-shirt:

http://gata.org/tshirts

Or a colorful poster of GATA's full-page ad in The Wall Street Journal on January 31, 2009:

http://gata.org/node/wallstreetjournal

Help keep GATA going

GATA is a civil rights and educational organization based in the United States and tax-exempt under the U.S. Internal Revenue Code. Its e-mail dispatches are free, and you can subscribe at:

http://www.gata.org

To contribute to GATA, please visit:

http://www.gata.org/node/16