LME Licence Advantages

LME Licence Benefits: Continuous Updates for Comprehensive Market Analysis

FT Mercati, as a licensed LME (London Metal Exchange) data vendor, offers your company access to real-time price updates for all metals traded on the London Metal Exchange.

Our service is a real competitive advantage, which translates into a number of concrete benefits for market players:

• Improved market awareness: with real-time prices, companies and traders can constantly monitor market developments and make informed decisions based on the latest changes. This is crucial to seize trading opportunities and minimise risks.
• Purchase planning: the data on the FT Mercati platform allows companies to plan their purchases with prices that are updated in real time, giving them maximum accuracy and transparency. This is especially important for large purchase orders or for metals with high volatility.
• Management control: tools for monitoring data in real time through sheets developed in Microsoft Excel or ERP (Enterprise Resource Planning) systems allow companies to precisely and continuously control the costs of raw materials at both the purchasing and budgeting stages.
• Competitive advantage: access to real-time market data is a significant competitive advantage for traders, who can thus react quickly to market fluctuations and anticipate their competitors.

LME Licence Benefits: How FT Mercati Operates

FT Mercati receives price data directly from the LME in real time via a dedicated data stream. This data is then integrated into FT Mercati's platforms and made immediately available to clients.

Real-time commodity price updates on:

• Official prices: these are the most important prices communicated by the LME every day and are used in most negotiations between companies.
• Settlement price: the official cash price on the ask side, it is the daily reference for non-ferrous metals.
• Futures prices: with the prices of futures contracts, companies and traders can monitor the development of futures prices and plan deferred supplies and deliveries.
• Cash/3 months spread: the cash/3 months spread represents the difference between the price for spot metal delivery and the price for deferred delivery of three months. By monitoring the 3-month cash spread in real time, companies and traders can assess the market situation and optimise their moves.
• Inventories: inventories indicate the quantity of a particular metal in stock at LME warehouses. This information can be useful for companies to assess market interest in a particular metal and to optimise their purchases.
• Monthly averages: many metal deliveries that occur several times during the course of a month are settled with an average price, immediately available in the FT Mercati platform.

In conclusion, the real-time price update offered by FT Mercati, thanks to the LME Licence, is a valuable service for companies and traders trading in metals. This tool allows them to make more informed buying and selling decisions and gain a competitive advantage in the market.