What is a "Spot Price?" :

What is a "Spot Price?"

Modified on Tue, 29 Aug 2023 at 02:25 PM

While metals markets are open across the world, precious metals prices can change from one moment to the next. A spot price is a snapshot at a given point in time, of the current spot market price for these metals. The spot price is based on paper contracts.


NOTE: In normal markets, the price for large bar physical bullion is very close to the “spot” price quoted on large bullion exchanges. However, recent market disruptions have caused a significant increase for actual physical bullion in large bar form over the quoted “spot” price, which is based on paper contracts.  

 

Was this article helpful?

That’s Great!

Thank you for your feedback

Sorry! We couldn't be helpful

Thank you for your feedback

Let us know how can we improve this article!

Select atleast one of the reasons
CAPTCHA verification is required.

Feedback sent

We appreciate your effort and will try to fix the article