MARKET REVIEW OF THE SGE IN MAY 2004

In May, the Shanghai Gold Exchange traded 17,269 kilograms of gold. The gold traded in the first five months 2004 increased by 35.99 per cent year-on-year to 114,699 kilograms, with the trading value up 58.64 per cent to 12.417 billion yuan. Platinum traded in the SGE was 879 kilograms in May. From January to May the SGE recorded 6,209 kilograms of platinum trading, valued at 1.454 billion yuan.

After China's May Day holiday, international gold price reached a record low since October 2003, as the positive employment data in the US boosted the dollar. After that the gold price rebounded amid the rising oil price and the dropping dollar.

Au99.95 in the SGE opened the month at 102.40 yuan per gram, and closed at 105.09 yuan, up 0.53 per cent. Platinum opened the month at 217.00 yuan, and closed the month at 233.04 yuan, up 6.05 per cent.

In May, the clearing volumes for gold and platinum were 11,102 and 1,036 kilograms respectively. The clients in the SGE reached 609 with 19 new entrants.