SINGAPORE, April 10 CME Group is
considering opening a futures exchange in London to expand in
Europe where it has a clearing business, the Financial Times
reported on Tuesday, citing the Europe head of the U.S.-based
CME is one of four bourses on a shortlist of bidders for the
London Metal Exchange, and the newspaper said CME's plan may be
an alternative option in case it does not win the bid for LME.
CME has operated a clearing house in London since last year,
but because of the group's wide product range, "we would have to
consider what we would do on the (exchange-traded) futures side,
so we would need to have an exchange (in London)", the newspaper
quoted William Knottenbelt as saying.
CME's main rival, InterContinental Exchange (ICE),
has operated a London energy futures exchange since its purchase
of the International Petroleum Exchange in 2001.
Apart from CME, those shortlisted for the LME bid are ICE,
NYSE Euronext and Hong Kong Exchanges and Clearing Ltd
, sources told Reuters late last month.
The four exchanges are looking at LME operations in the city
ahead of a May 7 deadline to make offers in the second bidding
round of a process the 135-year-old bourse kicked off last