Where’s the silver lining? Metals market airs concerns over global benchmark process
Regulation. Regulation. Regulation. Once again it is being blamed for the London Bullion Market Association Silver Price — operated and administrated by CME Group and Thomson/Reuters — settling around 6% below the spot price January 28. A matter of some contention across the market.
The jury is well and truly out on whether or not it is the fault of the system, or just another headache embedded by over-regulation.
The LBMA Silver Price settled January 28 at $13.58/oz. When the daily auction process kicked off the spot price was $14.42/oz.
Questions were raised about the process across the metals market January 6, after it took 60 attempts to settle.