Weekly round-up: Global, domestic base metals prices edge down w-o-w

At close of trading on Friday, 14-June 2024, prices of base metals on the London Metal Exchange (LME) witnessed a downtrend.

On the LME, three-month aluminium futures fell by 2.37% to $2,517/t, while nickel settled at $17,575/t (down 2.53%). Copper prices were at $9,741/t, zinc remained stable at $2,767/t and lead prices fell by 2.73% to $2,139/t.

Throughout the week, domestic and global base metals markets experienced down trends. Imported and domestic aluminium scrap prices remained on down side.

Aluminium

According to BigMint's assessment, tense (8-9%) originating from the UAE was down 3.6% at $1,860/t, CFR Mundra. Meanwhile, extrusion from the UAE dropped by 0.6, settling at $2,445/t, CFR Mundra.

BigMint's latest assessment indicates that spot prices of aluminium ADC12 alloy ingots in Delhi NCR fell marginally and were at INR 215,000/t w-o-w ex-works. Similarly, tense scrap prices decreased by INR 3,000/t to INR 185,000/t ex-Delhi, with the scrap-to-ADC12 spread recorded at INR 29,000-30,000/t.

Market participants informed BigMint: "Major auto OEM companies are currently undergoing maintenance for 10-12 days, resulting in slow demand for ADC12."

According to BigMint, prices of China's silicon 553 have risen and were at $2,025/t CFR Mundra majorly because of high freight rates. The sea freight fee from China to Mundra is $4,000-$4,200 per container.

Currently, tense scrap prices in Chennai are around INR 186,000/t. Spot prices of ADC12 in Chennai range between INR 216,000 and INR 217,000/t ex-works, excluding GST.

Copper

BigMint reported a 2.6% weekly decrease in domestic copper armature prices to INR 791,000/t ex-Delhi, as LME's price levels came lower to 9,741/t. Secondary CCR rods prices fell by 1.7% to INR 846,000/t, while primary CC rods prices decreased by 2.6% to INR 870,000/t.

In the imported segment, copper motor mix originating from the US witnessed firm levels and brass honey (4%) from the UAE also dropped by 1% w-o-w amid a correction in LME copper prices.

Zinc, lead

Zinc ingots are at INR 268,000/t, down by 1.1% w-o-w. Meanwhile, lead ingot prices have remained almost stable at INR 189,000/t exw-Delhi. Meanwhile, Middle East zinc diecast (5%) prices were at $2,150/t CFR Mundra.