💎 Fed’s first rate cut since 2020 set to trigger market. Find undervalued gems with Fair ValueSee Undervalued Stocks

UPDATE 1-Istanbul Gold Exchange to list spot palladium

Published 09/27/2010, 08:41 AM
Updated 09/27/2010, 08:44 AM
GC
-
PA
-
PL
-

* IGE plans to develop platinum, palladium market next year

* Exchange mulls creation of base metals market in Istanbul

* Gold imports still seen weak in full year 2010

(Adds detail, comment)

By Jan Harvey

BERLIN, Sept 27 (Reuters) - The Istanbul Gold Exchange is planning to list spot palladium alongside gold and platinum from next year and is mulling the launch of a base metals market, the IGE's deputy manager told Reuters on Monday,

"We are intending to make not (only) gold but other precious metals such as ... palladium ... traded on the exchange," Saliha Ascensio said on the sidelines of the London Bullion Market Association annual conference.

"It would be spot traded," she said. "In 2011 we are intending to do that."

"Palladium is not something that is accepted as a precious metal in Turkey," Ascensio said. "So we have a project to make palladium also a precious metal (on the exchange).

"We are also intending to open a precious stones and diamond market," she added.

The exchange already trades large volumes of gold, and platinum is listed but little traded. "Theoretically, platinum can be traded, but there is not enough demand," said Ascensio.

She said the exchange is also mulling the launch of an industrial metals market. "We are also intending to make a market like the LME in base metals," she said.

She said while there was a lot of activity in base metals in Turkey, the pricing depends on the London Metal Exchange as a reference.

"We are intending to open a base metals market to make IGE prices the reference price for Turkey and also the region, the neighbouring countries," she said.

DIFFERENT INSTRUMENTS

She said no date was yet on the cards for the project to come to fruition but that the time was right to offer a wider range of products to Turkish investors.

"Commodities prices are very volatile, and commodities are quite popular," she said. "In Turkey, to bring different kinds of instruments to trade ... would help both retail and corporate investors."

Commenting on gold, Ascensio said she expected Turkish bullion imports to remain relatively low this year after high prices curbed demand in 2008 and 2009.

Turkey is one of the world's biggest gold consuming countries, with figures from the IGE showing imports averaging 187 tonnes a year over the 10 years to 2009, according to a report by metals consultancy GFMS.

Although levels have dropped in recent years, GFMS figures show the country was still the sixth-largest gold consumer in terms of fabrication demand last year, behind India, China, the United States, Japan and Italy.

In 2010 to the month of August, Turkey's imports stood at 27.236 tonnes.

Gold prices were up on Monday after earlier reaching a record $1,300 an ounce.

(Reporting by Jan Harvey; Editing by Jane Baird)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.