New LME chief looks beyond metals

London Metal Exchange's newly appointed chief executive Garry Jones said he would focus on expansion in the mainland and would launch new products beyond metal futures trading.

The London-based bourse and its parent Hong Kong Exchanges and Clearing yesterday named Jones, former chief executive of US commodities exchange NYSE Liffe, to succeed Martin Abbott who resigned in June. He will join the exchange on September 30.

Jones said in a telephone conference from London that he would launch new products in addition to the many metal futures products traded on the LME.

Brokers believed the world's largest base metal exchange may introduce agriculture commodities and currencies products to meet demand from mainland China. Jones has 30 years of experience in soft and agricultural commodities trading.

Jones said the LME is going to launch its own clearing house soon.

"With the new technology, it would be easy for the LME to introduce new products. Base metal contracts are currently the core products of the LME but we can move beyond metals to consider introducing agricultural commodities which also require physical delivery," Jones said. "Watch this space."