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Apr 17, 2014

Commodity investor inflows rebound as sector outperforms shares

LONDON, April 17 (Reuters) – Money is flowing back into
commodity investments this year as the sector has broken out of
lock-step with other asset classes and outperformed them,
attracting investors who aim to diversify portfolios.

After $50 billion of net redemptions in 2013, total inflows
so far this year into passive commodity index products and
commodity-linked exchange traded funds (ETFs) have amounted to
about $5.8 billion, according to estimates by Citi.

Apr 10, 2014

Nickel hits one-year high on shortage concerns, aluminium gains

LONDON, April 10 (Reuters) – Nickel prices touched their
highest in more than a year on Thursday as speculators continued
to buy up futures on concerns about shortages following a ban on
ore exports from Indonesia.

Other industrial metals made gains, including aluminium,
which surged to a five-month peak, supported by prospects that
U.S. interest rates were not likely to rise as soon as
previously thought.

Apr 7, 2014

LME may not launch aluminium premium contract until 2015

LONDON/SANTIAGO (Reuters) – The London Metal Exchange may not launch its new aluminium premium contract until early next year, the exchange’s top executive said on Monday, months after a competing product from U.S. rival CME Group Inc is expected to go live.

The distant date for the new LME contract will stir the debate over its ability to resolve the years-long issue of backlogs and inflated physical prices that U.S. end users say are costing the industry $6 billion (3.6 billion pounds) each year.

Apr 7, 2014

LME to launch aluminium premium contract; no word on court appeal

LONDON, April 7 (Reuters) – The London Metal Exchange (LME)
said on Monday it would launch a new contract on aluminium
premiums, extending its product suite for the metal just weeks
before major rival CME Group starts a competing futures
contract.

The LME, the world’s biggest marketplace for industrial
metals, appeared to be fighting back after losing a court ruling
last month that handed CME an unexpected windfall for its
contract that seeks to steal clients from the dominant exchange.

Apr 7, 2014

Rusal defends metals warehouse court challenge after criticism -letter

LONDON, April 7 (Reuters) – Russian aluminium giant Rusal
, which won a court ruling last month that halted a key
metals warehouse reform, has defended its move, denying it was
seeking to freeze the status quo and “stifle” reforms.

Rusal, in a letter to customers seen by Reuters, was
appearing to respond to harsh criticism by some aluminium buyers
of its court case against the London Metal Exchange (LME), the
world’s biggest market for industrial metals.

Apr 3, 2014

Metals warehousers to tread warily despite UK court ruling

LONDON, April 3 (Reuters) – Big warehouse owners, under
regulatory scrutiny for tying up huge amounts of aluminium in
profitable storage, are unlikely to risk seeking a fresh influx
of metal even though a UK court ruling last week set back
attempts to rein them in.

But access to aluminium will remain tight as existing
backlogs increase in the global network of warehouses overseen
by the London Metal Exchange (LME) following the court decision,
analysts and industry sources said.

Mar 31, 2014

Rusal says may support LME warehouse rules after new consultation

LONDON, March 31 (Reuters) – Russian aluminium giant Rusal
may accept new rules to cut backlogs at warehouses
overseen by the London Metal Exchange (LME) if they resulted
from a fair consultation, a company executive said on Monday.

Rusal would be happier, however, if the LME tackled the
issue of high rents at LME depots as it reviews its warehouse
regulations that were quashed by a UK court last week, said
Steve Hodgson, Rusal’s sales and marketing director.

Mar 28, 2014

LME tightens ‘Chinese Wall’ rules on warehouses, traders

LONDON (Reuters) – The London Metal Exchange (LME) pressed on with reforms to its warehousing network on Friday, unveiling tighter “Chinese Wall” restrictions a day after a court ruling forced the LME to halt a plan to cut delivery backlogs.

The LME said it would bolster rules on firms that both trade on the exchange and own metals warehouses to ensure there was no improper flow of information or conflict of interest.

Mar 27, 2014

Rusal derails London Metal Exchange plan to cut warehouse queues

LONDON (Reuters) – Russian aluminium producer Rusal dealt a stunning setback to London Metal Exchange plans to cut logjams in warehouses, winning a court decision to halt the reform because consultations had been “unfair and unlawful”.

The High Court in London ruled in favor of Rusal (0486.HK: Quote, Profile, Research, Stock Buzz) which fears prices of its products will suffer from the LME’s efforts, which had been due to take effect on April 1, to make owners of warehouses in the exchange’s global network deliver metal more quickly to consumers.

Mar 27, 2014

Rusal legal win makes London Metal Exchange halt warehouse reform

LONDON, March 27 (Reuters) – The London Metal Exchange (LME)
will not implement reforms to cut logjams in its global
warehousing network as scheduled next month after it lost
crucial elements of a legal case brought by Russian aluminium
giant Rusal.

“The LME is disappointed with the outcome of the judicial
review,” the exchange said in a statement on Thursday. “The
implementation of the rule will not take place on 1 April 2014.”