Loco
The place at which gold
is physically held and to which a particular price applies. The prime example
is loco London gold which means not only that the gold is held in London but also
that the price quoted is for delivery there. Many
banks and bullion dealers quote a loco London
price automatically and many institutions keep part at least of their position
loco London. International bullion houses located in Hong Kong make a parallel
market in loco London gold to the Chinese
Gold and Silver Exchange Society during trading hours there. The
description does not apply exclusively to London. Gold may be quoted loco Zurich,
New York, Tokyo (and considerable effort has been made to start a distinct market
in loco Tokyo gold) or any other centre.