As we’ve said before in prior gold news, India, is important in world gold trading. What most people don’t appreciate is that India has the second-largest gold trading market in the world, behind London.
The curious part is that gold currently only trades as futures on that market. India Prime Minister Narendra Modi‘s government pledged they would overhaul the fragmented gold market in India, adding a spot gold exchange like the one in London.
This would make gold prices much more transparent in India, and also to the world as well. Futures trading, after all, does have an effect on current prices. However, a spot gold exchange gives an unmatched right-now read on market sentiment. And with India being so important in the worldwide gold market, you’d think everyone would want to know what buyers in India are thinking right now.
Today’s featured article discusses the factors behind and facing the moves toward more transparency in the Indian gold market, which we of course applaud. Transparency is, after all, the investor’s best friend.
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