Key facts
- Hong Kong launched a central clearing system for gold on Tuesday.
- The Hong Kong Gold and Silver Exchange Society has joined the Shanghai Gold Exchange.
- This integration aims to strengthen collaboration and market connectivity between the two gold trading hubs.
- Hong Kong also revived gold futures trading as part of its strategy to become a regional reserve hub.
Hong Kong launched a central clearing system for gold on Tuesday and revived gold futures trading as it seeks to become a regional reserve hub for the precious metal. The Hong Kong Gold and Silver Exchange Society, the city's gold clearing and settlement firm, has joined the Shanghai Gold Exchange. This integration is expected to strengthen collaboration and market connectivity between the two significant gold trading hubs. The initiative includes a "Delivery Connect" mechanism with the Shanghai Gold Exchange, allowing traders to settle transactions using physical assets in both cities.