Base metals prices on LME show mixed trends, stocks witness outflows
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- Vedanta to launch world's first zinc park in Rajasthan
- South32 withdraws FY'24 Mozambique smelter forecast
Base metals prices on the London Metal Exchange (LME) showed mixed trends, with nickel declining by 1.76% d-o-d. Meanwhile, inventories at LME-registered warehouses witnessed negative movements, with lead stocks decreasing by 1.01% d-o-d.
COMEX market update
Copper prices on the COMEX market increased by 1% to $9,436/tonne (t) compared to the previous close.
Indian market overview
In India's non-ferrous metals markets, BigMint assessed domestic copper armature scrap at INR 744,000/t ex-Delhi. Aluminium tense scrap prices remained stable d-o-d, with ex-Delhi at INR 174,000/t and ex-Chennai at INR 175,000/t.
Global updates
Vedanta to launch world's first zinc park in Rajasthan
At the Rising Rajasthan Global Investment Summit 2024, Vedanta's Hindustan Zinc announced plans to establish the world's first industrial zinc park in Rajasthan. This ambitious project, a critical component of Vedanta Group's INR 1 lakh crore investment across zinc, oil and gas, and renewable energy sectors in Rajasthan, aims to foster innovation and create thousands of jobs. Strategically located near Hindustan Zinc's facilities, the park will operate on renewable energy and support MSMEs, driving Rajasthan's industrial growth and economic prosperity.
India gets caught in US-China trade crossfire
India is grappling with increased Chinese imports, especially steel, amid a looming US-China trade war. As Chinese goods flood the Indian market, local manufacturers are pushing for safeguard tariffs. If the US imposes higher tariffs on China, India may face a surge in imports across industries such as electronics, machinery, and chemicals, worsening its trade deficit with China.
South32 suspends Mozambique smelter forecast amid unrest
Australia's South32 has withdrawn its FY'24 production forecast for the Mozal Aluminium smelter in Mozambique due to ongoing civil unrest following disputed elections. The violence has disrupted the transportation of raw materials, affecting operations. South32, which holds a 63.7% stake in the smelter, previously forecasted 360 kilotonnes of output this fiscal year, which represents 28% of its total aluminium production for 2024.
Oil prices edge up
Oil prices saw modest gains, driven by optimism over China's stimulus measures and expectations of recovering demand. However, gains were capped by the strength of the dollar and ongoing geopolitical tensions. Traders await US inflation data and inventory reports for further direction.
Brent crude futures were recorded at $72.58/barrel today. Meanwhile, WTI crude oil futures increased slightly by 0.55% d-o-d to $68.97/barrel.
Natural gas prices rise
Natural gas stood at $3.20/metric million British thermal unit (MMBtu), up by 1.23% d-o-d.
Dollar index stable
The dollar index, which measures the value of the greenback against a basket of six major currencies, hovered at 106.07, stable d-o-d. The Indian rupee was recorded at INR 84.84 against the dollar.
