HSBC debuts in gold

In what is being widely seen as a major step toward globalizing China's gold market, HSBC yesterday became the first overseas bank to start trading gold on Shanghai Gold Exchange (SGE) after gaining approval from China's banking regulator.

Tong Gang, the press officer of Shanghai Gold Exchange, told China Daily: "The transaction volume traded by HSBC today (Thursday) on SGE amounted to 17 kilogram of gold in purity Au9995."

"It is an exciting policy to allow overseas banks access to China's gold market," said Tong. "A closer tie between China's gold market and the global market is expected to be established."