Nickel prices were soared, and it was reported that China Construction Bank’s subsidiary did not call for margin as scheduled

The historic short-squeeze detonated, causing nickel prices to soar by up to 90% in intraday trading on March 7, and news came out that a unit of China Construction Bank was unable to add hundreds of millions of dollars in ultra-high margins in time, but had already Get a grace period from the London Metal Exchange (LME).

Bloomberg reported on the 8th, citing unnamed sources, that CCBI Global Markets, a brokerage affiliated to China Construction Bank, was given a reprieve, indicating that it has not officially defaulted. It must be noted that the failure to pay the security deposit as scheduled does not necessarily mean that there is a problem with the parent company. This may be because a customer in the metal industry did not pay CCBI Global Markets as scheduled.

The report also pointed out that Xiang Guangda, chairman of Tsingshan Holding Group Co., the world’s largest nickel and stainless steel producer, once had a huge short position in the LME through the company.

Leave a Reply

Please log in using one of these methods to post your comment:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s