This is the fifth time the State Bank has called for bids in the context of domestic gold prices continuously breaking the peak. In the four previous auctions, only one was successful and three were canceled.
It is known that in previous bidding sessions, businesses said that the floor price for gold bars was too high and the minimum volume that businesses had to buy was large (1,400 taels), causing risks when having to spend large capital in the context of fluctuating world prices.
Lowering the minimum purchase volume to 700 taels in this morning's gold bar auction may attract businesses to participate because it reduces some of the risk.
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