The Hong Kong Gold Central Clearing System commenced its trial operation today, as announced by Hong Kong Special Administrative Region Chief Executive John Lee during the Hong Kong Fixed Income and Currency Summit and Bond Connect Forum. People's Bank of China Governor Pan Gongsheng attended the event and delivered a speech. Bank of Communications Deputy President Zhou Wanfu was invited to attend the ceremony.
On the same day, the Head Office and Hong Kong subsidiary of Bank of Communications completed gold trading settlements with several financial institutions through the Hong Kong Gold Central Clearing System. The total volume was 76,000 ounces, equivalent to approximately $315 million USD. Transaction types included spot, forward, and swap contracts, with trading currencies encompassing Hong Kong gold against offshore Renminbi, Hong Kong Dollar, US Dollar, and Euro.
As a core market maker and pricing bank in the domestic gold market, Bank of Communications has been actively promoting the connectivity between the Shanghai and Hong Kong gold markets from multiple angles including trading, clearing, and warehousing. The participation of its Head Office and Hong Kong subsidiary as among the first in Hong Kong gold trading and clearing business further strengthens the bank's support for the development of Shanghai as an international financial center and Hong Kong as an international gold trading hub.
The Hong Kong subsidiary of Bank of Communications is a board member of Hong Kong Precious Metals Clearing Company Limited. In the preparatory work involving rule formulation and system testing, it collaborated closely with the Hong Kong Financial Services and the Treasury Bureau and other board member institutions to jointly facilitate the successful launch of the business. During the trial operation of the Hong Kong Gold Central Clearing System, the Hong Kong subsidiary will actively conduct Hong Kong gold trading and clearing business as a temporary direct participant. It will also provide Hong Kong gold reference quotes to the entire market through mainstream platforms like Bloomberg and Reuters, continuously working to expand the influence of the Hong Kong gold market.
Bank of Communications possesses comprehensive qualifications in the gold market and extensive experience in market making and quotation. Moving forward, leveraging its strengths in trading, clearing, custody, and warehousing, the bank will provide customers with full-chain, one-stop solutions, deeply serve the real economy, and contribute to the high-level opening-up of the financial sector.
Comments