GOLD MARKET
Gold is one of the trading commodities traded in the world, and the gold price undulation can direct affect other countries’ economic, there are 4 biggest gold market in the world, such as:

1. NEW YORK GOLD MARKET

New York Gold Market mainly dealing future commodity market such as cotton,soybean and gold is only part of the gold commodity future traded in even numbers month as for the settle month of the gold future commodity, usually the turnover transaction comparatively is small, but the return is high. The Standard & Pool is the New York future exchange most famous stock product, and all the future commodity product’s dealing hours is not the same. The U.S. future gold base on an ounce per unit. 1 contract is equal 100 ounces.

2. LONDON GOLD MARKET.

London gold market is not fixed in a permanent place for trading. Mainly with , Deal by 5 commodity gold dealers, and the small gold dealer’s business are rely on those 5 commodity gold dealers, and the trading transaction volume is not up to standard, and they have not a fixed place, so called outside field, and also called the local London gold. This form compare with U.S. future gold is called local London gold, base an ounce per unit. 1 contract is equal 100 ounces.

3. HONG KONG GOLD MARKET

The Hong Kong Gold market is also call the Chinese gold & silver exchange society, traded with physical spot, is also the 3rd largest gold market in the world, mainly has massively comes the local London gold transaction by foreigners.

4. PHYSICAL GOLD DELIVERY

Usually the global gold market dealing is the gold paper money. The European & American are using a special test pencil to identify the genuine of gold. But the HONG KONG gold merchant & dealer are using the old fashion style, to test by naked eyes and to touch by their hands, this base on many years well experience to distinguish the gold is genuine or not. Usually the original gold bar has not been polished, the luster is muter, and each gold bar engrave the gold broker(trade-mark), and to touch by their hands, is base on many years well experience to distinguish it.

Calculation of the spot gold (profit & loss)
(selling price – buying price) x contract size x contract amount +/- interest – handling fees = profit & loss

Example: some customer sell 5 lots local London at US$500.00 and buy back 5 lots US$400.00 to settle.
(US$500.00-US$400.00)x 100 ounces x 5 x 7.8 ( transfer to HK$) = HK$390,000.00

(This example has not calculate the interest, warehouse fees and so on)