Gold appproved for Shanghai Futures Exchange
The Shanghai Futures Exchange (SFE), China’s number one futures bourse, received approval from the China Securities Regulatory Commission to start gold futures trading, the Shanghai Financial News reported. The SFE did not give a timetable but indicated it would launch the product shortly and “in a steady way”. The bourse will solicit public opinion on the product in terms of risk management and contract rulings from Wednesday. The SFE is already trades commodity metal futures, including copper, aluminum, and zinc. g is currently only available at, although it the Shanghai Gold Exchange, which is currently restricted to spot and forward trading in gold has also filed an application with the central bank to offer gold futures. From April through June, gold demand was up 32% in China to 75.9 tons, gold jewellery demand was up 30% to 70.6 tons, and demand for investment gold was up 76% to 5.3 tons. China is the world’s third largest gold producer; production topped 240 tons in 2006, up 7.15% year-on-year.