The days of the LME's resistance to pre-emptive, automatic market intervention look numbered, writes Andy Home.

The LME and its brokers were thrown into turmoil as nickel prices surged during an unprecedented short squeeze in March.

"The short-term drive is upward but the valuation is on the high side, and the risk of volatility will increase in June-July," Zhongzhou Futures analysts said.

However, there is no evidence that funds are yet prepared actively to buy into the China recovery story, writes Andy Home.

China's moves to ease covid-19 restrictions added fuel to the rally, as did shrinking stockpiles of imported iron ore at Chinese ports.

Jane Street is seeking around $15 million in damages from the London Metal Exchange.

“Supply is fairly constrained and you will not see supply from mines growing in the near or medium-term future,” said the World Platinum Investment Council.

Beijing Hede Fund Management built up a position from nearly zero on Feb. 18 to as much as 40% of overall exposure in about 10 days.