China Joins Century-Old Gold Fix as Sway in Commodities Expands
This article is for subscribers only.
A Chinese bank will help set prices in London’s $20 billion gold market for the first time as the nation increases its influence in the world’s financial system.
Bank of China Ltd. will join lenders including Goldman Sachs Group Inc. and Barclays Plc that run the twice-daily auction system for pricing gold, according to a statement from the London Bullion Market Association on Tuesday. The process, which dates back to 1919, sets a benchmark level for gold that’s used by mining companies, refiners and hedge funds.