UPDATE 1-Deutsche Bank to resign as London bullion clearer - sources
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By Clara Denina
LONDON Aug 20 (Reuters) - Deutsche Bank is to sever its last link with commodity trading by resigning as a clearing member of the London gold and silver over-the-counter business, two industry sources close to the matter said on Thursday.
The move leaves five banks -- Barclays, HSBC , Bank of Nova Scotia, JP Morgan and UBS -- to settle daily bullion transactions between dealers, amounting to more than $5 trillion worth of metal each year.
"Deutsche Bank is resigning as a shareholding member of the London Precious Metals Clearing (LPMCL) company," one of the sources said.
Deutsche declined to comment.
The German bank was a founding member of the LPMCL, which was set up in 2001 to develop an electronic matching system to replace trading by phone or fax.
It closed its physical precious metals trading arm in November 2014, after exiting other physical commodities business, covering energy, base metals and dry bulks in 2013.
The bank withdrew from gold and silver benchmark price setting in January 2014. Continued...