Non-ferrous metals prices on LME depict mixed trends

Prices of non-ferrous metals on the London Metal Exchange (LME) displayed mixed trends. Three-month aluminium futures inched up by 0.3% to $2,208/t, nickel dipped 1.7% to $20,289/t, copper moved down slightly by 0.5% to $8,422/t, zinc prices dipped 0.2% to $2,430/t, and lead prices edged up by 1.6% to $2,218/t. Meanwhile, metal stocks in LME-registered warehouses witnessed mixed trends.

COMEX market

Copper prices on the Commodity Exchange (COMEX) witnessed a decrease of 0.5% to reach $8,403/t from $8,448/t in the last trading day.

India: Non-ferrous scrap markets

Aluminium

Aluminum scrap prices in India trended up, as futures continued to rise d-o-d. Trading remained moderate as the month drew to a close. Trader sources predict a potential increase in prices in the near term.

Copper

Despite a 0.80% decline to $8,402/t on the LME yesterday, copper prices in India remained stable. Towards the end of the month, buyers made moderate purchases. Nonetheless, caution prevails in the market due to sellers aiming to raise their prices.

Zinc and lead

The domestic zinc market saw a modest uptick in prices w-o-w of 2.4%, which can be attributed to Hindustan Zinc Limited's price revision. HZL's lead prices remained steady, contributing to market stability.

Global updates

China's manufacturing sector contracts

China's manufacturing sector contracted for the fifth consecutive month in August, prodding officials to boost support amid weak domestic and international demand. New orders grew after five months, while producer prices improved for the first time in seven months. The official PMI reached 49.7, exceeding predictions of 49.4, hinting at stable conditions despite ongoing pressures.

Chinese cities ease mortgages to boost economy

To bolster China's economy, cities like Guangzhou and Shenzhen eased mortgage rules, providing favourable loans for first-time buyers. State-owned banks are poised to reduce existing mortgage rates, though this raises concerns about banks' profitability amid a turbulent property market.

Oil prices steady

Oil prices were on track to break a two-week decline, marking a fourth consecutive rise today. This upturn was driven by tightening supplies and the anticipation that the OPEC+ alliance of oil producers would extend production cuts through to the end of this year.

Brent oil futures were up slightly by 0.28% to $87.07 per barrel. Crude oil WTI futures inched up by 0.19% to $83.79 per barrel.

Natural gas prices dip

Prices of natural gas were recorded at $2.759/MMBtu, down 0.33% at the time of publishing this report.

Dollar index

The dollar index, which gauges the value of the greenback in a basket of six different currencies, hovered at 103.66, witnessing a slight rise of 0.04%.

The rupee was recorded at 82.66 against the dollar, depreciating marginally by 0.02% against the last closing.