Metal trading
Widely considered to be safe havens in times of market upheaval, gold and silver can help diversify your investments or hedge against inflation.
Metal trading
Widely considered to be safe havens in times of market upheaval, gold and silver can help diversify your investments or hedge against inflation.
Transforming Metals into Wealth-Where Opportunity Meets Resilience
Gold, platinum, and silver are the most traded precious metals. Their large trading volume is ascribed to their inherent value, which is retained regardless of the state of the economy. In recent decades, there has been a marked increase in the demand for long-term investments in precious metals through internet purchases and even physical ownership. Since exchange-traded contracts and derivatives offer a simpler and less capital-intensive approach to speculate on the price swings of precious metals, trading them also offers chances for short-term investors.
Inflation Hedge
Balance Portfolio
Potential Returns
Gold, platinum, and silver are the most traded precious metals. Their large trading volume is ascribed to their inherent value, which is retained regardless of the state of the economy. In recent decades, there has been a marked increase in the demand for long-term investments in precious metals through internet purchases and even physical ownership. Since exchange-traded contracts and derivatives offer a simpler and less capital-intensive approach to speculate on the price swings of precious metals, trading them also offers chances for short-term investors.
Inflation Hedge
Balance Portfolio
Potential Returns
What is Metal trading?
Gold and silver are two of the four precious metals, which are typically known as gold, silver, palladium, and platinum. Aside from jewelry, they have significant applications in engineering, electronics, and medicine. These metals are also regarded as trading instruments in their own right, and many believe them to be two of the world's earliest 'currency'.
What is gold?
Gold is the most popular of all precious metals, and it has been employed in the manufacture of luxury products since ancient times. Its scarcity and resistance to deterioration and tarnishing have made it valuable to almost every civilization, while its softness and malleability make it easy to utilize in jewelry and decorative goods. It is also in high demand in the electronics industry due to its outstanding conductivity.
What is silver?
Silver, which is frequently touted with gold as a reliable store of value in uncertain times, has antibacterial characteristics as well as strong conductivity. This makes it suitable for a variety of uses, including dentistry, purifying water, electronic engineering, and jewelry.
What is Platinum?
Investing in platinum has long been considered not the most profitable investment option. Still, in the past few years, this asset is gaining popularity and becoming more relevant. Today, platinum is a great opportunity to invest money to save in the future. According to statistics and dynamics, which show the rate of platinum, money invested in its purchase will be saved and multiplied. The main reasons for the high demand for platinum are its characteristics, which in certain aspects are unique in the production of various parts and in the jewelry industry, making platinum one of the rarest and most highly effective metals used for many years.
Why trade Metals?
Safe Haven These markets can be great safe havens, when markets are fearful of a riskier market outlook, Gold and Silver often gain at price, as investors look for a flight to quality. Long Trading History Some of the oldest traded markets, the Gold and Silver markets have been around since biblical times, with these precious metals valued by humans into pre-history. Balanced Portfolio Trading or investing in Bullion allows for a more balanced overall portfolio.
How are precious metals traded?
Trading in precious metals has been fundamental to trade for millennia and remains so today, with gold being the most often utilized metal. Investing directly in gold bars is one method to get into these markets. London has one of the largest gold bar markets, with a conventional bar size of 400 troy ounces, however lower bar sizes are also available. The normal size for silver bars on the London market is 1,000 troy ounces, while platinum and palladium bars range from 1 to 6 kg. However, physically trading and taking direct ownership of precious metals is costly, requiring specialist vaulting and custody arrangements, secure transportation, and insurance coverage. Indirect trading, through instruments such as ETFs, futures, and CFD may provide a more practical way to access the potential of the precious metals market.
Factors Affecting Precious Metal Prices
Supply and Demand: Applicable across all products and services, the same also applies to precious metals. A shortage in metals or the increased demand for their use can affect prices. Let's take industrial metals such as copper or aluminum. A technological advancement may create an alternative for their use and decrease their value. Macroeconomic Variables: Data relating to interest rates and GDP affect a significant amount of metals. One of the reasons is because metals are seen as a safe-haven, and an alternative investment to the cash rate provided by financial institutions. Market Conditions: Hex Markets provides metals trading against many major currencies including the US dollar, similar to foreign exchange. Metals tend to be susceptible to the US dollar and have historically traded in the opposite direction to the greenback. This is why they are often used as part of a hedging strategy in times of economic uncertainty. Inflation: Anything that dilutes the value of a currency helps the performance of metals. Quantitative easing or the printing of additional money causes a rise in inflation with metal prices generally following suit.