Editor’s Note
As global commodity markets experience heightened volatility, this article examines the emerging credit risks within China’s trading networks. The analysis highlights how price swings in assets like gold and silver are exposing vulnerabilities in these interconnected financial systems.
As global financial markets fluctuate wildly due to sharp rises and falls in commodity prices such as gold and silver, credit risks are successively emerging within Chinese trading networks.
Beyond the Xunmaohua incident that shocked the trading market, Chinese regulatory authorities are also closely monitoring a series of payment failures on gold and silver trading platforms in the private trading sector.
According to Hong Kong’s Sing Tao Daily, claims have been raised that over 100,000 customers of Zeworui, a gold trading platform in Shenzhen’s Shuibei—China’s largest precious metals market—have not received transaction payments amounting to 10 billion yuan.