📖 Gold Trading Glossary

Essential terms and definitions for gold investors and traders.

Gold Premium

The difference between the local gold price and the international spot price (LBMA). A positive prem...

Gold Discount

When local gold prices trade below the international benchmark (LBMA). Discounts often occur during ...

LBMA Gold Price

The London Bullion Market Association gold price - the global benchmark for gold pricing, determined...

CAGR (Compound Annual Growth Rate)

The mean annual growth rate of an investment over a specified period. CAGR smooths volatility to sho...

Maximum Drawdown

The maximum observed loss from peak to trough before a new peak is achieved. Measures worst-case los...

Z-Score

A statistical measure indicating how many standard deviations a value is from the mean. Used to iden...

Percentile

A measure indicating the value below which a given percentage of observations fall....

Gold ETF

An exchange-traded fund that tracks the price of gold by holding physical gold bullion....

Central Bank Gold Reserves

Gold held by central banks as part of their foreign exchange reserves....

Gold Supply

Total gold entering the market: mine production (~75%) + recycled gold (~25%). ~4,800 tonnes annuall...

Mine Production

Gold extracted from mining operations. Global production is ~3,600-3,700 tonnes annually....

Recycled Gold

Gold recovered from jewelry, electronics, and other end-use products. Provides 25-30% of annual supp...

Gold Demand

Gold consumption: jewelry (40-50%), investment (25-35%), central banks (10-20%), technology (5-10%)....

Jewelry Demand

Gold consumed in jewelry fabrication, representing 40-50% of total demand. India and China dominate....

Gold Seasonality

Tendency of gold prices to follow recurring patterns during certain months. September and January hi...

All-In Sustaining Cost (AISC)

Total cost to produce an ounce of gold. Global average is ~$1,200-1,400/oz....

Shanghai Gold Exchange (SGE)

China's primary gold exchange, established in 2002. Sets domestic gold price....

MCX Gold

India's leading commodity exchange for gold futures and spot trading....

Gold Fix

The twice-daily price setting, now replaced by the LBMA Gold Price electronic auction....

Spot Price

The current market price for immediate delivery of gold. Basis for all gold pricing....