LME Base metals prices remain positive, stocks witness mixed movement

Base metals prices on the London Metal Exchange (LME) exhibited positive trends, with zinc leading the gains, increasing by 1.79%. However, metal stocks at LME-registered warehouses showed a mixed movement with lead witnessing the largest outflow of 2.02%.

COMEX market update

Copper prices on the COMEX market rose by 2%, reaching $9,174/t compared to the previous close.

India's market overview

In India's non-ferrous markets, BigMint assessed domestic copper armature scrap at INR 725,000/t ex-Delhi. Meanwhile, aluminium tense scrap prices remained stable, with ex-Delhi NCR prices at INR 174,000/t and ex-Chennai prices at INR 175,000/t.

Spot prices of aluminium ADC12 alloy ingots (non-OEM) in Delhi NCR and Chennai fell w-o-w, as per BigMint's latest assessment. In the Delhi-NCR region, ADC12 spot prices were assessed at INR 207,000/t ex-Delhi, aligning with domestic tense scrap prices which settled at INR 174,000/t ex-Delhi.

Global market updates

U.S. vehicle and parts output drop, factory production declines in July

U.S. factory production fell by 0.3% in July, impacted by a 7.8% drop in motor vehicle output and Hurricane Beryl. June's figures were revised to show no growth. Durable manufacturing saw a 0.9% decrease, while non-durable output rose by 0.4%. Overall industrial production decreased by 0.6%, with capacity utilisation dropping to 77.8%.

Nickel market slumps as EV battery demand weakens

Nickel prices have fallen by 25% to an average of $17,492/tonne (t) in 2024 due to supply glut in Indonesia and a slowdown in the global EV battery market. Weak demand from Europe and the US, policy shifts, and reduced subsidies have pressured nickel-rich battery chemistries, causing major producers to delay expansions and cut costs.

Strike at BHP's Escondida mine disrupts copper production

The ongoing strike at BHP's Escondida mine, the world's largest copper mine, has halted key operations, including the Los Colorados concentration and electrowinning plants. This disruption in production has intensified global copper supply concerns, contributing to a 2.2% rise in copper prices to $9,169/t.

Aluminium stocks at Japan's 3 major ports slide in July m-o-m

The aluminum stocks at Japan's three major ports totalled 299,600 t as of the end of July, falling by 5.7% compared to the previous month. Among them, the stock in the Yokohama Port was 138,600 t, down from 150,500 t in the previous month; that in the Nagoya Port was 141,700 t, decreasing from 148,100 t recorded last month; that in the Osaka Port was 19,300 t, growing from 19,260 t in the previous month.

Oil prices up

Oil prices rose, driven by positive U.S. economic data that eased recession fears and boosted market sentiment. The increase was supported by stronger-than-expected retail sales, anticipation of a potential Federal Reserve rate cut, and ongoing geopolitical tensions in the Middle East and Ukraine.

Brent oil futures were recorded at $80.76 per barrel, down by 0.35%, while WTI crude oil futures fell by 0.47% to $77.79 per barrel at the time of reporting.

Natural gas prices up

Natural gas prices were recorded at $2.20 per MMBtu, up by 0.41%.

Dollar index

The dollar index, which measures value of the greenback against a basket of six major currencies, hovered at 102.76, down by 0.04%.

The Indian rupee was recorded at INR 83.96 against the dollar, compared to the previous close.