JPMorgan will leave the floor of the London Metal Exchange, the last open outcry trading in Europe, as clients move to electronic trading.
Bloomberg News reports that that leaves nine firms, including Societe Generale, Sucden Financial and INTL FCStone, whose traders meet daily at a ring of red leather sofas at the exchange and shout buy and sell orders for metals, a tradition dating back to 1877.
JPMorgan started LME floor trading after buying RBS Sempra Commodities LLP in 2010.
'It’s always shocking when a floor trader leaves, though not wholly unexpected given the current business environment', Robin Bhar, an analyst at Societe Generale SA which owns category one dealing firm Societe Generale Newedge UK Ltd in London, said by phone. 'This is not an existential threat to the ring. We may well see a Chinese or wider Asian firm taking their place'.
To access the complete Bloomberg News article hit the link below: