Key takeaways
- Spot describes the current market for near-term settlement; it moves continuously while markets trade.
- The LBMA Gold Price is a formal benchmark set twice daily through an independently administered auction.
- The historic term “fixing” is still used informally, but modern LBMA benchmark prices are administered through electronic auctions.
- A customer order tied to a benchmark or market moment should clearly state which reference and which time applies.
Spot price
Spot is the market price used for near-term precious-metal transactions. It changes as buyers and sellers trade and as global market conditions move.
Benchmark price / fixing
The LBMA Gold Price is an internationally recognised benchmark for gold delivered in London. The gold benchmark auction starts twice daily at 10:30 and 15:00 London time and is independently administered by ICE Benchmark Administration.
The market historically called these benchmark-setting processes “fixings”. That word remains common in bullion trading, even though the modern process is an electronic, independently administered benchmark auction.
Why the distinction matters to a customer
If a trade is agreed “at spot”, the relevant market price and execution time should be clear. If a trade is agreed against a named benchmark, the benchmark and session should be clear. This reduces ambiguity when prices move quickly.
Physical bullion still has a product price
Even when a trade uses a spot or benchmark reference, the final physical price may include a product-specific premium, discount or spread. The reference price and the physical product economics are related but not identical.