Column: Funds dump copper as rising stocks dampen bull spirits
LME inventory last week touched a three-year peak.
The London Metal Exchange (LME) has approved Red Sea port city Jeddah in Saudi Arabia as a warehouse delivery point for copper and zinc, it said on Monday.
The exchange said the listing will become active three months after the first warehouse company has been approved in the new location.
Warehouses registered with the LME, the world’s largest and oldest metals trading venue, are usually located in areas of net metals consumption or top transit hubs such as Rotterdam.
Saudi Arabia is planning an ambitious industrial development and logistics programme, part of its wider Vision 2030 reform plan, which aims to make the kingdom a major global player in the energy, mining, logistics and industry sectors.
In March, the LME said it planned to add Jeddah as a new delivery point subject to consultation about a technical change to the LME warehouse framework.
In a separate notice on Monday, the LME said that it had amended a clause in the LME’s policy on the approval of locations as delivery points related to warehouse insolvency following a consultation.
The LME is owned by Hong Kong Exchanges and Clearing 0388.HK.
(Reporting by Eric Onstad and Polina DevittEditing by David Goodman and Louise Heavens)
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