When discussing futures contracts, we often focus on outright buying and selling. But what if, instead of purchasing the commodity directly, you had the right rather than the obligation to buy it? That’s where options come into play, offering flexibility in trading strategies. A call option gives the holder the right to buy a commodity […]
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Aluminium is a chief raw material that supports the growth of various industries like construction, manufacturing, and transportation. Regrettably, aluminium production emits almost 270 Metric tonnes of carbon into the atmosphere, which contributes to 3% of the world’s direct industrial carbon emissions.1 Increasing carbon emissions has been creating a catastrophic impact on the global environment […]
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The aluminium industry is undergoing a revolution powered by AI and automation. From extrusion to smelting and rolling, cutting-edge technologies drive efficiency, sustainability and cost-effectiveness. This blog explores three case studies highlighting how industry leaders leverage digital transformation to optimise operations and reduce environmental impact. Granco Clark: Adaptive Technology in Aluminium Extrusion Granco Clark is […]
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Introduction When analysing the world of options trading, it’s crucial to approach it from a speculator’s mindset. Unlike hedging, which focuses on risk management, speculation is taking positions based on market expectations. To put it simply: This approach is fundamental to trading futures and options on the London Metal Exchange (LME), particularly in aluminium markets. […]
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Aluminium is everywhere. From the smartphone in your hand to the electric car in your driveway- this lightweight, rust-resistant metal is the unsung hero of modern life. But here’s the kicker—its production is a climate nightmare. The industry pumps out over 1.1 billion tonnes of CO2 annually, roughly 2% of global emissions.1 With demand projected […]
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At present, we are living in a world where sustainability has become a key focus for all no matter where you are or what kind of business you are into. As the world ditches single-use plastics faster than a bad date, beverage brands are stepping up their sustainability game. This makes it easier to say […]
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In the intricate world of trading, the relationship between a client and their broker plays a pivotal role in determining both the quality of service received and the associated costs. Understanding the concept of “impact”, the degree to which a client’s demands affect a broker’s resources is essential for traders aiming to optimise their strategies […]
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Brokers play a fundamental role in accessing the London Metal Exchange (LME), as the key intermediaries between traders and the market. In this episode, we discuss broker categories, their responsibilities, and the costs associated with their services. The Broker’s Role in LME Trading To access LME markets, traders must open an account with a broker. […]
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The rise in energy demand since the 1970s has been largely met by fossil fuels. However, growing environmental concerns and the need for cleaner alternatives have driven a shift toward renewables. Coal’s share in global electricity generation has declined, falling from 38% in 2017 to 35.1% in 2023. Meanwhile, industries continue to be significant energy […]
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Credit lines play a crucial role in managing risk and ensuring smooth transactions in trading. In this episode, we explore the complexities of credit lines and compare their use in over-the-counter (OTC) trading to the London Metal Exchange (LME) clear. Why Do You Need Two Credit Lines? In metals trading, two types of credit lines […]
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