The difference between the two is referred to as the “bid-ask spread” and is often a reliable indicator of an investment’s liquidity. More simply: If you want to buy, you pay the ask price if you want to sell, you receive the bid price. The ask price is the minimum asking price available for a particular commodity at the present time. The bid price is the maximum offer available for a particular commodity at the present time. What is the difference between bid and ask prices? These costs all get worked into the final retail price or premium. They also have premiums that they have to pay to acquire the physical metal about the spot price. When buying precious metals, there’s an additional charge called the premium, which is the real world cost to take precious metals from the ground, refine them, and mint them into a final retail product.Įven refineries and mints don’t buy precious metals at the spot price. When looking to sell metals to a dealer, the dealer may offer spot or slightly below the spot price for metals. Precious metals are sold by dealers with a premium to the current spot price. The spot price is quoting the current trading market price for 1 troy ounce of. However, markets all over the world can trade the spot price in USD and then convert into into their local currency. What currency is the spot price quoted in? The market can have many periods that are quiet, followed by highly volatile trading periods. Spot prices remain static during that 45-minute period from 5:15PM EST to 6PM EST on those days. Between domestic and foreign exchanges, spot prices update Sunday through Friday, from 6PM EST to 5:15PM EST each day. The price of precious metals is constantly changing, as they’re traded during market hours by millions of investors and businesses. (By near term, that may mean the front month contract, or the nearest contract with the most volume.) However, the most important exchange for determining precious metal spot prices is COMEX, where prices are calculated using the near term futures contract price. Gold, silver, platinum, and other precious metals are commodities that trade virtually 24 hours per day across multiple exchanges, including New York, Chicago, London, Zurich, and Hong Kong. Investors now await data on the UK's labour market, economic growth and monthly industrial and manufacturing output next week to gauge the state of the economy and the policy tightening path.How are the precious metal spot prices calculated? Stubbornly-high inflation, jitters around more rate hikes and concerns about a worsening global economic environment have kept London stocks range-bound following extensive losses last month.Īmong individual movers, FirstGroup (FGP.L) jumped 13.9% after the transport operator beat annual profit forecasts. Precious metal miners (.FTNMX551030) and chemicals (.FTNMX552010) were the worst-hit sectors, losing 1.4% and 1.7% respectively. The broader homebuilders index (.FTNMX402020) shed 0.9%. Homebuilder Crest Nicholson Holdings (CRST.L) dropped 7.1% after warning of further slowdown in the British housing market. Vodafone Group (VOD.L) and Sainsbury (SBRY.L) were amongst top decliners, falling 5.5% and 3.8% respectively, as the telecom firm and Britain's second-largest supermarket chain traded without the entitlement for divided. Growing rate hike bets pushed the pound nearly 1% higher, further pressuring the exporter-heavy FTSE 100 index. Traders have nearly fully priced in a 25-basis point hike by the BoE in two weeks time. "The headwind from tighter monetary policy and generally tighter financial conditions is building up again," said Andrea Cicione, head of research at TS Lombard.Ĭicione said the surprise hikes by the RBA and BoC potentially give more incentive for the Bank of England to hike again. Surprise rate hikes by the Bank of Canada and the Reserve Bank of Australia this week have spooked investors globally, sparking concerns that major global central banks could stick to their rate tightening cycles for longer. The internationally-focused FTSE 100 (.FTSE) slipped 0.3%, while the domestically-focused FTSE 250 (.FTMC) midcap index lost 0.2%. ![]() June 8 (Reuters) - British equities fell on Thursday, as sentiment around global interest rates remaining higher for a longer period pressured stocks, while Vodafone and Sainsbury going ex-dividend contributed to losses.
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