A scandal is underway at the London Metal Exchange.
Call it getting nickeled and dimed.
JPMorgan Chase is reportedly the victim of a scandal rocking the world of international metal trading, according to Bloomberg.
The financial services company owned nine “contracts” (i.e., promises to buy or sell certain amounts of nickel at a later date, or futures) of nickel worth about $1.3 million.
Those nine contracts, or portions of nickel, turned out to be bags of (worthless) rocks.
The London Metal Exchange (LME) is a marketplace for things like copper, zinc, and tin and serves as a price setter and helps regulate the trade in general. At one of its approved warehouses in Rotterdam, LME said they received a report that delivery from the facility was just rocks — not nickel. (The LME does not operate warehouses but “approves” them. This warehouse is run by the logistics company, Access World.)
Read more here: https://www.entrepreneur.com/business-news/jpmorgan-chase-reportedly-owns-rocks-instead-of-nickel/448073
