HOTTER ON METALS: LME steps in the right direction

London Metal Exchange members are typically neither public nor loud in their complaints, but the noise surrounding the 139-year old metals trading exchange had recently reached deafening levels.

Declining volumes, member uproar over the higher cost of doing business, physical market concerns at moves to promote electronic trade – it has been quite a tumultuous time for the LME, which was sold to Hong Kong Exchanges & Clearing in 2012. The exchange has been fending off criticism from numerous fronts over the past couple of years, particularly since it hiked trading fees and retained the significantly higher charges imposed by the London clearing house after its own clearing platform got up and running. The most public display of negativity towards the LME came when a group of high profile market members got together and said they were looking into developing an alternative trading platform to the LME. Not only that, but the group was being coordinated by the former ceo of the LME, Martin Abbott, and has since received...

Published

Andrea Hotter

August 07, 2016

23:40 GMT

New York