COMMENT: Big nickel orders clearly a boon for the LME

Amid the uncertainty about who was placing large offers to sell nickel on the London Metal Exchange’s electronic trading platform last week, market observers were clear on one thing: the orders were coming from China.

Whoever is behind the trades, it is also clear that Chinese interest in the LME nickel contract is hugely beneficial for the LME, both in boosting trading volumes and in deepening the links between the exchange and the massive mainland metals markets.

In March, LME nickel trading volumes hit an all-time monthly high of 492,000 lots, driven by a swell...

Published

Mark Burton

April 17, 2016

15:00 GMT

London