Hong Kong Exchanges and Clearing (HKEX) is reviving gold futures as geopolitical turmoil drives volatility in bullion prices.
Gregory Yu, the exchange’s head of markets, told local lawmakers this week the bourse plans to reintroduce the product, according to a video reviewed by Reuters.
HKEX previously launched gold futures in 2017 and a earlier version in 2008, but both failed due to weak liquidity and global competition. The exchange has not given a timeline.
Yu said many investors seek risk diversification amid rising geopolitical tensions. "We believe it is imperative to connect the gold futures market with the physical gold ecosystem here," he said.
The Hong Kong government is separately pushing to expand bullion storage and position the city as an international gold trading hub.