Summary
Technology weakness kept the S&P 500 and Nasdaq lower, while DXY slipped below 102.00 and the US 10-year yield held above 5.0%.
Copper reclaimed $14,400/t as Chilean disruptions remained in focus, with tight supply and China’s outlook set to dominate LME Week.
Gold and silver consolidated below $4,200/oz and $58/oz, while Brent remained elevated near $105.90/bbl.
Macro
The S&P 500 and Nasdaq moved lower as the rotation away from highly valued technology and AI shares continued, while gains in defensive sectors limited the broader decline. DXY slipped below 102.00, but the US 10-year yield remained broadly steady above 5.0% after giving back its earlier weekly gains, leaving financial conditions restrictive despite the softer dollar.
Eurozone inflation was confirmed at 3.8% YoY in September, up from 3.2% in August, with core inflation rising to 2.5%. Energy contributed 1.71 percentage points to the headline rate, while services added 1.52 points, showing that underlying pressures extended beyond fuel. The data reinforce expectations that the ECB will maintain a cautious policy stance.
Next week begins with China’s Q3 GDP, industrial production and retail sales, followed by the PBoC decision, UK labour-market and inflation data, and Friday’s flash PMIs for the eurozone, the UK and the US. China’s data will provide the first test of whether recent policy support is translating into stronger domestic activity, while the PMIs should show whether elevated energy costs and restrictive rates are weighing further on global growth. We expect caution around technology shares to persist, with the dollar and yields remaining sensitive to any evidence of firmer inflation or weaker activity.
Base Metals
Base metals edged higher into the close. Copper recovered from Thursday’s losses to finish the week just above $14,400/t, while aluminium reclaimed $3,000/t. Nickel tested $15,400/t before closing near $15,350/t. Lead and zinc remained rangebound below resistance at $1,895/t and $3,720/t, ending around $1,890/t and $3,695/t, respectively.
Copper’s recovery remained supported by Chilean supply concerns. BHP’s Escondida mine avoided industrial action after supervisors approved a new three-year contract, but the separate strike at Antofagasta Minerals’ Centinela mine remains unresolved. Meanwhile, Codelco’s El Teniente mine suspended its open-pit South Pit operations after a snow, rock and mud avalanche killed two subcontractors on 11 October. The immediate production impact is limited because underground mining and processing remain operational, while the affected open pit accounts for less than 10% of the mine’s output.
Attention now turns to next week’s LME Week, where constrained mine supply, tight nearby spreads, the persistence of Chilean disruption, and the impact of China’s policy support should dominate discussions.
Precious Metals
Gold again failed to break above $4,200/oz and settled closer to $4,150/oz, with the softer dollar providing support but the US 10-year yield continuing to cap the upside. Silver was similarly capped below $58.00/oz and traded near $57.30/oz. The most probable near-term outcome is continued consolidation below these resistance levels ahead of next week’s macro releases.
Oil remained elevated, with Brent near $105.90/bbl and WTI around $95.80/bbl at the latest settlement. Middle East supply risks continued to support prices, although emergency stock releases limited further upside.
All price data is from 16.10.2026 as of 17:30