The chief executive officer of Sharps Pixley Ltd., who has traded gold for 30 years, challenged a study that says the market’s price-setting mechanism is susceptible to manipulation, compromising the $19.6 trillion of the precious metal that trades annually.
Sharps Pixley Ltd. will start offering gold coins and bars to U.K. investors after a former trader bought the name from Deutsche Bank AG to tap the retail market for bullion following a 10-year price rally.
Regulators are stepping up their scrutiny of how gold prices are set, with officials from Britain’s Financial Conduct Authority visiting Societe Generale SA to observe the so-called London fixing process, two people with knowledge of the matter said.
The cost of borrowing gold held near a 4 1/2-year high in London as U.S. futures moved into backwardation this month, a signal that near-term supplies are tightening at a time when prices gained on more physical demand.
Iridium, the rarest of the seven precious metals traded internationally, is showing signs of life as economic growth fuels demand for the commodity used in spark plugs and light-emitting diodes for televisions.