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Spot gold

The price of gold for immediate delivery, formed on the over-the-counter market.

How to read the number

It is the reference point for every other form of the metal: the futures contract, the metal account, the bar and the coin.

When the metric lies

A private buyer can almost never transact at the spot price: a premium for the physical form, storage and the bank's own spread are all added on top.

Also known as: loco London gold

Related terms