Non-ferrous metals prices on LME display mixed trends d-o-d

Prices of non-ferrous metals on the London Metal Exchange (LME) witnessed mixed trends. Over a three-month period, aluminum futures have inched down by 0.2% to reach $2,195/t, nickel dipped by 1.4% to $20,554/t, copper inched up by 0.6% to reach $8,397/t, zinc prices rose by 0.9% to $2,479/t and lead prices inched up by 0.09% to $2,127/t. However, the stocks in LME warehouses witnessed a downfall except copper.

COMEX market

Copper prices on the Commodity Exchange (COMEX) witnessed an increase of 1% to reach $8,315/t from $8,271/t in the last trading day.

India: Non-ferrous scrap markets

Aluminium

Indian alloy ingot market remained stable, prices were steady from firm scrap prices, consistent futures contracts and slight primary producer price cuts (up to INR 5,250/t ex). ADC12 alloy ingots were at INR 188,000-190,000/t exw-Faridabad, as per SteelMint. Moderate demand maintained steady prices, supply adjusted slightly to meet needs. Similarly, local aluminium scrap market shows a slight decrease w-o-w.

Copper market

Indian copper prices remained steady d-o-d yesterday, backed by strong raw material demand. However, caution prevails amid uncertain futures. The US mix motor offers were down to $1,080/t, decreasing by $50-$60/t.

Global updates

RBI holds rates, adjusts cash buffer

The Reserve Bank of India maintained its key lending rate at 6.50%. In response to inflation concerns due to elevated food prices, it increased banks' required cash buffer temporarily. The central bank's policy stance aims to balance inflation alignment with economic growth support.

Japan's July wholesale inflation slows

Japanese wholesale inflation rose 3.6% y-o-y in July, marking a seventh consecutive month of slowing growth due to softer energy costs. The Bank of Japan expects consumer inflation to decrease with declining global commodity prices. Government subsidies mitigated the impact of utility fee spikes on prices.

Malaysia's June 2023 labour trends

In June 2023, employment in Malaysia grew by 0.2% (28.3 thousand persons) to 16.31 million, led by the services sector. Unemployment decreased by 0.5%, lowering the rate to 3.4%. The labour force increased by 0.2% (25.3 thousand persons) to 16.89 million. Malaysia's economy and labour market are expected to maintain a positive trajectory.

Oil prices rise d-o-d

Today, WTI crude futures remained above $84 per barrel, near a nine-month peak achieved earlier. Concerns persist in commodity markets due to production cuts by vital OPEC+ participants Saudi Arabia and Russia.

Brent oil futures gained marginally by 0.14% to $87.66 per barrel. Crude oil WTI futures moved down slightly by 0.14% to $84.52 per barrel.

Natural gas prices gain

Prices of natural gas were recorded at $2.936/MMBtu, up 0.61% at the time of publishing this insight.

Dollar index

The dollar index, which gauges value of the greenback in a basket of six different currencies, hovered at 102.47, witnessing a slight drop of 0.02%.

The rupee was recorded at 82.84 against the dollar, depreciating marginally by 0.02% against the last closing.