Seeking Alpha
Seeking Alpha Portfolio App for iPad
Finance
(1)
Market Currents

Moving on from Libor, the CFTC is reportedly having an informal look at whether the London fix...

  • Wednesday, March 13, 5:25 PM ET
    Moving on from Libor, the CFTC is reportedly having an informal look at whether the London fix for gold and silver is open to manipulation. Gold prices are set twice daily by five banks via teleconference (silver by 3), with the fixings then used worldwide as benchmarks for any number of transactions. The banks involved: BCS, DB, HBC, BNS, SCGLY.PK.
Track new comments on this story

This news story has 3 comments:

  • NOTHING will be done about this. The CFTC has been here before!!

    What a joke...
    13 Mar, 05:32 PM Reply Like
  • Each bank should independently come up with a different price and withhold it until the end of the trading day.

    The futures traders would buy or sell based upon which ever bank's price fix they choose.

    At the end of the day, the prices are published and the traders can see if they made any money.

    The bank with the most "Bank X Undisclosed Price" trades (i.e. the bank that sets the best or most accurate price) gets a commission on all trades for that day.
    13 Mar, 05:45 PM Reply Like
  • Time to model the banks on the public utilities.
    14 Mar, 09:06 AM Reply Like
Other date
DJIA (DIA) S&P 500 (SPY)