City regulators have launched an investigation into the London Metal Exchange after it suspended nickel trading last month. On March 8, the exchange, which is owned by Hong Kong Exchanges and Clearing, suspended its operations for more than a week and canceled billions of dollars of trades after experiencing significant volatility, prompted by supply fears amid Moscow’s invasion of Ukraine. The volatility put pressure on commodity prices and saw nickel costs rise to $100,000 a tonne within a short period of time, leading the exchange to suspend trading for the first time in three decades. The U.K.’s Financial Regulation Authorities (FCA) said on Monday that it would conduct a review of the exchange’s handling of the situation to “determine what lessons might be learned in relation to the LME’s governance and market oversight arrangements”. The Bank of England said it would also undertake a similar review of the operations of the bourse’s clearinghouse, LME Clear, to “determine whether any lessons might …