Non-ferrous metals prices on LME display upward trend

Prices of non-ferrous metals on the London Metal Exchange (LME) witnessed positive trends on the last trading day. Three-month aluminium futures inched up by 0.3% to $2,239/t, nickel prices went up by 0.5% to $18,582/t, copper prices edged up by 1.8% to $8,046/t, zinc prices gained by 1.3% to $2,509/t and lead prices rose by 0.3% to $2,143/t. Meanwhile, metal stocks in LME-registered warehouses witnessed mixed trends.

COMEX market

Copper prices on the Commodity Exchange (COMEX) gained 2% to reach $7,963/t from $7,809/t on the last trading day.

India's non-ferrous market

The Indian aluminium scrap market experienced fluctuations as significant players in the industry reduced their prices, prompting sellers to withhold their materials on the last trading day.

On the other hand, copper prices in the domestic market experienced a decline due to sluggish market activity. The sudden drop in future prices to $7,920/t levels, contributed to this trend. Sellers are currently retaining their copper stocks in anticipation of higher prices.

Global updates

India's services sector thrives in Sep'23

India's services sector continued to grow robustly in September, with the Services Purchasing Managers' Index (PMI) reaching 61, up from 60.1 in August and 56.7 in September 2022. Strong demand, effective marketing, and increased international sales contributed to the growth.

Copper market shifts to surplus in 2024, says ICSG

The International Copper Study Group (ICSG) has projected a transition in the copper market from supply-demand balance in 2023 to a significant supply surplus in 2024. The surplus is expected to reach 467,000 t, up from the previous forecast of 297,000 t. While the market is anticipated to be in deficit in 2023, the projected deficit has been reduced from 114,000 t to 27,000 t. The ICSG noted that actual market balance outcomes have sometimes differed from forecasts due to unforeseen developments. Key trends include weakened western demand and robust Chinese production.

Oil prices gain

Oil prices surged over $3 per barrel in Asian trading today due to escalating military clashes between Israel and the Palestinian Islamist group Hamas, which have heightened political instability in the Middle East and raised concerns about oil supplies.

Brent oil futures went up by 3.38% to $87.44 per barrel. Crude oil WTI futures gained by 3.68% to $85.84 per barrel, at the time of reporting.

Natural gas prices up

Prices of natural gas were recorded at $3.437/MMBtu, up 2.97% at the time of publishing this report.

Dollar index

The dollar index, which gauges value of the greenback in a basket of six different currencies, hovered at 106.35, witnessing a slight rise of 0.29%.

The rupee was recorded at 82.95 against the dollar, remained largely stable against the previous closing.