LONDON: A second US trading firm has filed suit against the London Metal Exchange for suspending nickel trading during huge surge in prices in March, the LME said Tuesday.
Hong Kong Exchange and Clearing Limited (HKEX), LME’s owners confirmed the lawsuit, filed by Jane Street, a day after it announced that another US firm, Elliott Management, had launched its own legal case.
Both firms are contesting the LME’s decision to cancel all trades made on March 8 and temporarily halt trading.
The surge in prices came in the early stages of Russia’s invasion of Ukraine, triggering chaos because of concerns about supplies from Russia, the world’s third-biggest producer of the industrial metal.
LME’s decision left nickel at a record high at $48,002 per tonne, set on March 7.
Jane Street is claiming $15.34 million in compensation, said HKEX. Jane Street itself has not yet responded to an AFP request for information.
Elliott Management said on Monday it was seeking $456 million in compensation.
HKEX has said it will contest both claims, which it says are groundless.