London Fixing refers to various daily price-setting mechanisms conducted in London for precious metals, currencies, and other commodities. The most famous is the London Bullion Market Association (LBMA) Gold Price, which establishes daily benchmark prices used for contract settlements, valuation, and trading reference points. These fixings provide transparent and widely accepted price references.

London fixing processes involve multiple participating banks or dealers who submit buy and sell orders at specific times, with final prices determined through electronic auction systems. These benchmark prices are used globally for contract settlements, investment fund valuations, and derivative pricing. Understanding fixing mechanisms helps traders anticipate potential price movements around fixing times.

Real-world example: The LBMA Gold Price fixing at 3 PM London time establishes the daily gold benchmark at $1,850 per ounce, which is immediately used to settle gold derivative contracts and value precious metals investments worldwide.