By Stephanie Lai
The London Market Exchange said trading in nickel contracts will resume on Wednesday, almost a week after trading was halted amid disruption caused by Russia’s invasion of Ukraine.
Trading was halted March 8, the first time the LME had suspended a market since 1985, and canceled trades executed before the suspension in response to a huge loss-making trade originating in China. The halt also occurred in the backdrop of low metal stocks and geopolitical tensions as Russia, a major nickel supplier, was already in short supply of nickel.
The LME reported that a large client of the market published details relating to the support of a banking consortium that signals less potential for further disorderly conditions in the market.
The LME will also apply daily price limits for all base metals except nickel, effective March 15. Deliveries on nickel contracts entered into before Wednesday and due for delivery between March 16 and 22 will be deferred to March 23.