Nickel tumbles 12% in latest glitchy start to London trading

Nickel tumbles 12% in latest glitchy start to London trading

Bloomberg: Nickel dropped by the maximum allowed for a third day in another glitchy opening in London, as the price continues its retreat from an unprecedented short squeeze last week.

It’s the third straight day that electronic trading suffered from problems related to the London Metal Exchange’s new daily limits, introduced following the runaway price spike. The latest error compounds an embarrassing week for the 145-year-old exchange, which already faced harsh criticism for its handling of the squeeze, when prices surged by 250% before the exchange moved to close the market and cancel several hours of trades.

Nickel dropped 12% to the daily limit of $36,915 a ton on Friday, but at least three trades went through at a price below the lower bound set by the exchange, according to Bloomberg data. The trades outside of the limit will be canceled, a spokesperson for the LME said.