Base metals prices on LME witness mixed trends; stocks dip barring copper

Prices of non-ferrous metals on the London Metal Exchange (LME) witnessed mixed trends. 3-month aluminium futures inched down by 0.8% to settle at $2,117/tonne (t), nickel prices dipped by 1.2% to $16,607/t, copper prices edged down by 1.2% to $8,341/t, zinc prices inched up by 0.3% to $2,407/t and lead prices gained by 1.5% to $2,057/t. Meanwhile, metals stocks at LME-registered warehouses witnessed outflows barring copper.

COMEX market

Copper prices on the Commodity Exchange (COMEX) were down by 1.3% to $8,315/t from $8,425/t against the previous closing.

India's non-ferrous market

Domestic prices of aluminium scrap in India remained stable towards the beginning of the week. Currently, the market faces an excess of material supply compared to limited demand in the country.

Domestic copper prices edged up as of yesterday. The market is moving at a moderate pace, and sellers are not eager to sell at lower prices.

Global updates

Vedanta aluminium's bold net-zero initiatives

Vedanta Aluminium is accelerating efforts for Net Zero by 2050, incorporating clear emission mitigation timelines, advanced carbon sequestration, increased renewables use, and supporting local climate resilience. Vedanta's CEO, at COP28, emphasised aluminium's role in sustainability, citing a 28% reduction in GHG intensity from financial year 2012 (FY'12) to FY'23 amid production growth.

RUSAL's AlZn alloy revolutionises automotive

RUSAL, a major aluminum producer, introduced a groundbreaking AlZn alloy for the automotive sector. Developed through collaborative R&D projects, it enhances strength, enabling up to a 15% weight reduction in high-stress components. The alloy's casting methods, combined with its cost-effective features and environmental sustainability, aligned with automotive industry goals for performance and eco-friendliness.

India's copper imports surge, domestic exploration encouraged

In the fiscal year 2022-23, India's expenditure on copper imports surged to Rs 27,131 crore from Rs 21,985 crore the previous year, attributed to the nation's reliance on imported copper ore and concentrate due to limited domestic reserves. Responding to queries in the Rajya Sabha, Coal and Mines Minister disclosed that India, ranking 10th globally with 5.55 lakh tonne refined copper production, experienced heightened imports driven by post-pandemic recovery and amplified demand in sectors like infrastructure, construction, telecom, electrical, renewable energy, and electric vehicles.

To bolster domestic copper availability, new exploration licenses for critical minerals, including copper, have been introduced, encouraging private agency involvement and advanced technology application.

Enerpoly secures $8.4m for zinc-ion megafactory

Swedish startup Enerpoly, a zinc-ion battery developer, secured an $8.4 million grant from the Swedish Energy Agency to build the world's first megafactory for zinc-ion batteries. The funding aims to demonstrate scalability, affordability, and profitability, offering an innovative and sustainable alternative to lithium-ion batteries in energy storage.

Copper prices surge amid supply challenges

Copper prices on the London Metal Exchange are nearing four-month highs due to mine closures and disruptions impacting supply forecasts. Anglo American's lowered production estimates for 2023 and 2025, coupled with Vale's reduced guidance, prompted analysts to revise copper surplus predictions downward. Macquarie now anticipates surpluses of 100,000 and 287,000 t for 2024 and 2025, signaling a more bullish outlook for prices, especially if demand remained robust.

Oil prices gain

Crude oil prices experienced a slight increase today as investors exercised caution in anticipation of significant interest rate announcements and the release of inflation data. However, apprehensions regarding an excess of supply and a deceleration in demand growth restrained any substantial gains.

Brent oil futures went up by 0.58% to $76.47 per barrel. Crude oil WTI futures gained slightly by 0.64% to $71.78 per barrel, at the time of reporting.

Natural gas prices edge down

Prices of natural gas were recorded at $2.430/MMBtu, down marginally by 0.04%.

Dollar index

The dollar index, which gauges value of the greenback in a basket of six different currencies, hovered at 103.93, down slightly by 0.16% against the last closing.

At the time of reporting, the rupee was recorded at INR 83.37, appreciated marginally against the previous closing.