The price of gold is determined by The London Bullion Market Association, as reported by its website. It sets the price in United States dollars twice a day. This price is recognized as the current price of gold and is used around the world to conduct a variety of different transactions.
The process of setting the daily price of gold used to be called Gold Fixing and it started in 1919. Today it is still administered in London. The members of The London Bullion Market Association are Barclays Bank, Goldman Sachs International, HSBC Bank USA NA, JP Morgan, Societe Generale, The Bank of Nova Scotia and UBS.
Since March 20, 2015 the process of determining the daily price is via an electronic price discovery process, as explained on the London Bullion Market Association website. This is essentially an electronic auction that is independently administered. In the auction, gold is traded electronically, and transactions are physically settled. This controlled balance of supply and demand gives the daily price of gold.
This auction produces the price of gold and it is set twice a day, at 10.30 a.m. and 3 p.m. United Kingdom time. The price is set in U.S. dollars, although indicative Sterling and Euro prices are also given. The current price of gold is available on the London Bullion Market Association website.