![]() We advise you to carefully consider whether trading is appropriate for you based on your personal circumstances. COMEX exists primarily as a place to manage financial risk.Leveraged trading in foreign currency or off-exchange products on margin carries significant risk and may not be suitable for all investors. Instead, the world market, which includes both buyers and sellers, establishes and adjusts the price of Gold and Silver futures. Ultimately, an exchange like the COMEX does not directly affect the price of Gold or Silver quotes. HOW COMEX AFFECTS THE VALUE OF PRECIOUS METALS This holds true if the metals do not undergo refinement or deposit by unapproved organizations or facilities. Once delivered, investors may move COMEX Copper and other Precious Metals without additional assessment. All metals must meet specific fineness requirements and must be accompanied by an assay certificate. These investors may take delivery only once they have obtained relevant receipts.ĬOMEX Gold purchases are closely monitored to protect both the investor and the market. They must initiate the process before the last trading day pertaining to the contract, and they must make both the clearing firm and the market itself aware of the impending transaction. Those who do take delivery on a futures contract must complete a notification process in advance. Instead, most either close out or continue the contracts they purchase through COMEX, using them as a venue for decreasing financial risk. Some investors may opt to take physical delivery of their Gold purchases, but not all do. Rather than selling actual base metals or Precious Metals, COMEX deals in Gold futures, Silver futures and similar products. Today, COMEX has more liquidity than any other metals exchange. An earlier opening time better accommodates traders in the Eastern Hemisphere and has allowed the exchange to grow and gain value. Contracts may be standard in size, or micro versions may be traded.ĬOMEX boasts an international client base and has adjusted its operating hours accordingly. Now both NYMEX and COMEX function as designated contract markets alongside the Chicago Mercantile Exchange and the Chicago Board of Trade, which the CME Group also owns.Īs a thoroughly established market, COMEX serves as the primary exchange for trading Aluminum, Copper, Gold, Platinum, Palladium, Silver and Steel. In 2008, the CME Group purchased the exchange. In 2006, NYMEX was first listed on the New York Stock Exchange as NMX. Six decades later, COMEX merged with the New York Mercantile Exchange (NYMEX) and began to serve as the metals trading division for the exchange. Once known as Commodity Exchange Inc., COMEX dates to 1933 when the New York Hide Exchange, the Rubber Exchange of New York, the National Metal Exchange and the National Raw Silk Exchange merged. Whether you are considering a Precious Metals purchase or you have already begun investing, it’s important to understand how COMEX operates and learn why it is the primary market for trading Gold, Silver and other Precious Metals.
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