SGX axes gold futures contract as trading grinds to a halt

Singapore

THE Singapore Exchange (SGX) has quietly pulled its gold futures contract, citing low trading interest, even as physical gold trading activity in the country rose in recent years.

The contract's large size was more suited for large players like banks, which have largely exited the sector as their balance sheets come under scrutiny, said industry players.

In a circular on Monday seen by The Business Times, the SGX said it would suspend trading in the gold contract with immediate effect due to the absence of trading interest, and that the contract would be made dormant on Mar 19.

An SGX spokesperson confirmed the move. "This suspension is part of our ongoing review of ou…