Base metals prices show positive trends, stocks on LME show mixed movements

• India's services sector shows strong growth
  
  
• Chile to invest $83 bn in mining till 2033
  
  

Base metals prices on the London Metal Exchange (LME) showed positive trends, with nickel gaining the highest, by 2.05% d-o-d. Similarly, inventories at LME-registered warehouses witnessed mixed movements, with copper stocks dropped by 0.78% d-o-d.

COMEX market update

Copper prices on the COMEX market increased by 2% to $9,223/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 742,000/t ex-Delhi. Aluminium tense scrap prices remained stable d-o-d, with ex-Delhi at INR 173,000/t and ex-Chennai at INR 174,000/t.

Global updates

India's services sector thrives amid rising prices

India's services sector showed strong growth in November, with the Purchasing Managers' Index (PMI) staying steady at 58.4. Despite a sharp rise in prices, driven by labour and material costs, demand remained robust, leading to increased hiring and a positive business outlook. International demand contributed to this expansion, though inflationary pressures persisted.

Chile to invest $83 billion in mining by 2033

Chile plans to invest $83.18 billion in its mining sector through 2033, a 27% increase from last year's estimate. The investment will fund 51 projects, including copper and lithium expansions. The total could reach nearly $100 billion with additional plans from BHP. About 52% of spending is set for 2024-2026.

Australia's weak growth spurs rate cut expectations

Australia's economy grew at the slowest pace since the pandemic, with Q3 GDP rising only 0.3%, missing expectations. Annual growth slowed to 0.8%, dampening hopes for a rebound. As a result, markets now expect a rate cut in April, with further easing in May.

Oil prices rise

Oil prices gained over 2% amid heightened Middle East tensions, with Israel threatening to attack Lebanon if its truce with Hezbollah collapses. OPEC+ is expected to extend supply cuts, which would help mitigate a market surplus. Meanwhile, weak global demand and rising US inventories signal slower consumption.

Brent crude futures were recorded at $73.82/barrel today. Meanwhile, WTI crude oil futures increased by 0.24% d-o-d to $70.11/barrel.

Natural gas prices up

Natural gas stood at $3.05/metric million British thermal unit (MMBtu), up by 0.33% d-o-d.

Dollar index drops

The dollar index, which measures the value of the greenback against a basket of six major currencies, hovered at 106.31, down by 0.03% d-o-d. The Indian rupee was recorded at INR 84.73 against the dollar.