Go to List

LME base metals prices head south amid uncertain economic indicators

...

Aluminium
By
126 Reads
19 Jul 2024, 11:49 IST
LME base metals prices head south amid uncertain economic indicators

Base metals prices on the London Metal Exchange (LME) witnessed downtrend with copper witnessing the largest decrease of 2.58%. Similarly, metal stocks at LME-registered warehouses showed a mixed trend with the highest inflow seen in copper which rose by 2.86%.

Copper prices fell amid concerns over Chinese industrial demand. President Xi Jinping's post-Plenum remarks hinted at no immediate stimulus; shrinking manufacturing PMI and trade tensions amplify the bearish sentiment despite increased speculative interest and rising production.

COMEX market

Copper prices on COMEX fell by 3% to $9,394/t against the previous closing.

India market

In India's non-ferrous market, BigMint's assessment of domestic copper armature scrap prices stood at INR 770,000/t ex-Delhi. Meanwhile, aluminium tense scrap prices have remained range-bound, with ex-Delhi NCR at INR 180,000/t and ex-Chennai at INR 181,000/t.

Additionally, Indian zinc ingot prices fell 2% to INR 275,000/t due to low consumption and a $150/t drop in LME. Lead prices remained steady w-o-w. Domestic re-melted lead is priced at INR 189,000/t, ex-Delhi, and Middle East zinc diecast prices are $2,160/t CFR Mundra.

Global updates

Vedanta revives Zambia's Konkola mines

Vedanta Resources settled $245.75 million in dues to revive Zambia's Konkola copper mines, regained after a legal battle. It seeks $1 billion more for operations amid efforts to cut $3 billion in debt over three years.

Indonesia introduces new online tracking system

Indonesia will introduce an online tracking system called SIMBARA next week for nickel and tin shipments, aiming to boost government revenue and enhance mining oversight. The system, previously used for coal, will monitor mineral movement from mines to smelters, ensuring royalties are paid before ore unloading.

Nornickel negotiating to establish nickel plant in China

Russia's Nornickel is negotiating with Chinese battery firms, including CNGR and Brunp Recycling, to build a nickel plant in China using Russian semi-finished products. The plant would produce nickel sulphate for EV batteries. Nornickel aims to shift production to China to circumvent Western sanctions, offering 50,000 t of nickel annually for the project.

US mine development timelines world's second-longest

It takes nearly 29 years on average to develop a new mine in the U.S., the second-longest timeline globally after Zambia. This extended process hinders efforts to increase production of critical minerals like lithium and nickel, crucial for the energy transition. The report highlights significant disparities in development times among countries, impacting mining industry competitiveness and strategic mineral supply chains.

Oil prices dip

Oil prices dropped on Friday, heading towards a second consecutive weekly decrease, influenced by a robust dollar and uncertain economic indicators that dampened investor confidence.

Brent oil futures were down slightly by 0.56% to $84.63 per barrel. Meanwhile, crude oil WTI futures were down by 0.66% to $82.27 per barrel at the time of reporting.

Natural gas prices down

Prices of natural gas were recorded at $2.095/MMBtu, down by 1.41%.

Dollar index

The dollar index, which gauges value of the greenback against a basket of six different currencies, hovered at 104.17, slightly up by 0.04%.

The rupee was recorded at INR 83.62 against the dollar, largely stable compared to the previous closing.

19 Jul 2024, 11:49 IST

 

 

You have 0 complimentary insights remaining! Stay informed with BigMint
;