Manufacturers Accuse Banks of Hoarding Aluminum. Reform Opportunies Missed?

Manufacturers Accuse Banks of Hoarding Aluminum. Reform Opportunies Missed? (Reuters)

Manufacturers have filed lawsuits in the United States accusing the London Metal Exchange (LME), banks and traders of causing prices to jump for aluminum by storing the metal in warehouses owned by the banks and traders. Among those firms accused of anti-trust violations are Goldman Sachs, JPMorgan and Glencore-Xstrata. A series of reform initiatives focused on the LME from 1996-2011 have been inconsistently and incompletely implemented, leaving the exchange open to these charges.

Adrienne Minor

Adrienne Minor is an editorial assistant for Eagle Financial Publications. She writes, edits and posts articles for the website, as well as edits and assists in the online distribution of Eagle’s investment newsletters, trading alerts, e-letters and other reports. Adrienne's special investing interests are in mobile technology and consumer spending.

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