Base metals prices on LME show varied trends, lead stocks dip over 2%
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Base metals prices on the London Metal Exchange (LME) show mixed trends. Notably, zinc witnessed the largest increase of 2.52%. Meanwhile, metal stocks at LME-registered warehouse showed a negative movement except nickel. Additionally, a significant outflow was seen in lead, which was down by 2.11%.
Zinc prices rose as international supply eased and supplies remained tight. The surplus fell to 8,300 t in May from 15,300 t in April. Weak US economic growth and expectations of a Fed rate cut also supported prices. China's, zinc output fell, with output lower than expected. The closure of a mine in Australia added to supply concerns.
COMEX market
Copper prices on COMEX is stable at $8,690/t against the previous closing.
India market overview
Copper
BigMint reported a weekly drop in domestic copper armature prices to INR 720,000/t, down by 3.2%. LME copper prices hit a 4-month low at $8,750/t, with stocks at a 2.5-year high due to weak Chinese demand. Secondary CCR rod prices fell to INR 764,000/t, while primary CC rods dropped to INR 788,000/t. Copper scrap imports into India decreased by 7% y-o-y in H1CY'24.
Zinc, lead
Global updates
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China's EV surge: NEVs reach 50.7% of sales in July
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Canada nickel reports strong findings at reid property
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Oil prices up
Oil prices rose due to heightened geopolitical risks, including escalated conflict in the Middle East and attacks on international shipping by Houthi militants. Additionally, supply concerns were exacerbated by disruptions in Libya and the impact of U.S. jobs data, which eased recession fears and supported prices despite a stronger dollar.
Brent oil futures remained range-bound to $79.16 per barrel. Meanwhile, crude oil WTI futures were up by 0.05% to $76.23 per barrel at the time of reporting.
Natural gas prices up
Prices of natural gas were recorded at $2.15/MMBtu, up by 1.36%.
Dollar index
The dollar index, which gauges value of the greenback against a basket of six different currencies, hovered at 102.99, which was down by 0.03%.
The rupee was recorded at INR 83.89 against the dollar, largely stable compared to the previous closing.