The LME is the only exchange in Europe continuing the open outcry practice. During the rings on the LME trading floor, a circle of padded red-leather seats, traders use arcane hand signals during five-minute bursts of intense trading in copper, aluminium, zinc, lead, nickel and zinc.
The LME, the world's oldest and largest market for industrial metals trading, affirmed its commitment to the open outcry rings in June last year, saying it would invest 1 million pounds in technology. At the time, it hoped to attract more ring-dealing members.
But on Monday the LME said in a members' notice that JP Morgan Securities would change as of Tuesday from Category 1 to Category 2 membership, which allows electronic and telephone trading, but not ring dealing.
The LME did not give a reason for the change. JP Morgan was not immediately available for comment.