Client Portal
  1. Metals Outlook
  2. Daily Base Metals Report

Daily Base Metals Report

Trade Deal Optimism Fuels Risk Appetite

Read disclaimer

Back to reports

Authors
Daria Efanova

Daria Efanova Head of Research

Viktoria Kuszak

Viktoria Kuszak Research Associate

Contact research Contact Industrial Commodities

Summary

  • US equities finished the week with strong gains, fuelled by news of a China-US trade framework boosting risk-on sentiment. 
  • Base metals tempered the upside as they encountered technical resistance levels.
  • Oil and gold fell as the truce in the Middle East continued. 

Macro

US equities finished the week with strong gains, buoyed by news of a trade framework between China and the US, which provided much-needed relief for the markets. The S&P 500 jumped higher, breaking above the previous high of 6147 and reaching a record high of 6175.  Although not all details of the deal are clear, it confirms terms outlined during trade talks between Beijing and Washington, including China's commitment to deliver rare earths that are essential for various industries, from wind turbines to jet planes. 

Meanwhile, the core PCE index rose by 0.2%, exceeding expectations, indicating consistent conditions for the Fed to cut rates in the second half of 2025. However, consumer spending declined by 0.1% MoM in May, marking the most significant drop since the beginning of the year. The dollar index held at yesterday's lows of 97.25, as the 10-year US Treasury yield remained at 4.26%.

Base Metals

Base metals opened higher today, following yesterday's strength. However, the overall risk-on sentiment was tempered by technical resistance levels, with copper continuing to lead market sentiment. Copper hovered below the $9,900/t mark, closing at $9,787/t, as cash to 3-month spread declined from yesterday's high but remained elevated at $200/t. Aluminium was seen approaching the $2,600/t resistance level, while lead and zinc remained elevated at $2,044/t and $2,779/t, respectively. 

Precious Metals and Oil

Despite starting the week at multi-year highs, oil futures closed the week on a negative note due to the truce in the Middle East and a greater focus on trade negotiations. WTI and Brent are trading at $65/bbl and $68/bbl, respectively. Precious metals weakened on the back of a stronger risk-on environment, with gold and silver falling to $3,270/oz and $36.15/oz.

Lme Metals Price And Volume 27062025

All price data is from 27.06.2025 as of 17:30

Disclaimer

This is a marketing communication. The information in this report is provided solely for informational purposes and should not be regarded as a recommendation to buy, sell or otherwise deal in any particular investment. Please be aware that, where any views have been expressed in this report, the author of this report may have had many, varied views over the past 12 months, including contrary views.

A large number of views are being generated at all times and these may change quickly. Any valuations or underlying assumptions made are solely based upon the author’s market knowledge and experience.

Please contact the author should you require a copy of any previous reports for comparative purposes. Furthermore, the information in this report has not been prepared in accordance with legal requirements designed to promote the independence of investment research. All information in this report is obtained from sources believed to be reliable and we make no representation as to its completeness or accuracy.

This report is not subject to any prohibition on dealing ahead of the dissemination of investment research. Accordingly, the information may have been acted upon by us for our own purposes and has not been procured for the exclusive benefit of customers. Sucden Financial believes that the information contained within this report is already in the public domain. Private customers should not invest in these products unless they are satisfied that the products are suitable for them and they have sought professional advice. Please read our full risk warnings and disclaimers.

Sign up to get the latest market insights

We will email you each time a new report has been published.

Subscribe

Select all the reports you wish to sign up for and submit your details below

Thank you for subscribing.

You should receive a confirmation email shortly. Please check your spam /junk mail folder if not received within a few minutes.

Do not forget to click the link in the confirmation message, otherwise, you will not receive any of our future emails.

This field is required
This field is required
This field is required
This field is required

Please note that we cannot email subscribers in the European Economic Area (EEA) or Switzerland, except for journalists.

(Please note that we cannot email subscribers in the European Economic Area (EEA) or Switzerland, except for journalists.)
You must agree to our terms and conditions before submitting the form
* Mandatory fields