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ifre.comAUG 283 min read$C

Investment in precious metals trading desks paves way for record revenues

Citigroup, Standard Chartered, and UBS are expanding precious metals trading desks due to increased client activity in gold and silver. Precious metals trading revenues are expected to rise by double digits in 2026, following a record US$4bn in 2025, according to Coalition Greenwich. Citi has invested in London Precious Metals Clearing and increased headcount, while UBS and Standard Chartered are strengthening their presence in Asia. Gold prices have rebounded 14% since August, with UBS predicti

Original reporting
ifre.com
Published Aug 28, 2026, 2:15 PM UTC
Analysis
alphai AI DeskAI-generated
Added to alphai Aug 28, 2026, 2:24 PM UTC. Informational, not investment advice.
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Investment in precious metals trading desks paves way for record revenues — source image
Source · ifre.com
Decision brief

The 30-second read

$CBullishMed
01

Why it matters

The expansion of trading desks and new clearing memberships position Citi, Standard Chartered, and UBS to capture growing gold and silver flows, potentially boosting earnings.

02

Market read

The moves signal stronger bank involvement in the precious‑metals sector, likely supporting higher gold prices and related equities.

03

What to watch

Regulatory changes in clearing and settlement could offset revenue gains; cost of physical storage may rise.

Relevance 6/10Novelty 6/10Timing: July 2026

Background

Banks are ramping up precious‑metals trading operations, citing record revenues and heightened client demand amid market volatility.

Company-level read

Ticker impact

$CBullishMedium confidence
Context

Citigroup joined the London Precious Metals Clearing in July 2026 to strengthen settlement services.

Expected impact

Modest upside as investors anticipate higher metals trading profits.

Evidence & confidence

Membership signals commitment; revenue growth expectations for banks' metals desks.

$UBSBullishMedium confidence
Context

UBS is expanding its precious metals trading in Asia, enhancing physical gold transport capabilities in Hong Kong and Singapore.

Expected impact

Modest upside for UBS stock on growing metals business.

Evidence & confidence

Strategic focus on high‑demand region aligns with sector growth.

Market effects

Sector

Precious‑metals trading revenue outlook improves for banks, encouraging sector‑wide bullish bias.

Regional

Asian gold markets may see higher liquidity as UBS and Standard Chartered expand physical handling.

Global

Increased bank participation could lift global gold prices and related ETFs.

Counterpoint

What could challenge this read

If gold prices retreat sharply, expanded metal desks may face underutilized capacity and margin pressure.

Key entities

  • bank
    Citigroup

    Joined London Precious Metals Clearing to enhance settlement services.

  • bank
    Standard Chartered

    Completed a trial batch of gold transactions via Hong Kong's new clearing system.

  • bank
    UBS

    Expanding physical gold transport capabilities in Hong Kong and Singapore.

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