Equity markets weakened in the UK and U.S. today, due to weak economic data and profit warnings. U.S. new factory output shrank in April by the largest since 1948, the manufacturing employment index declined to 27.5. Markit manufacturing fell to 36.1.
All metals on the LME closed lower today as weak economic data hit sentiment in the market. Copper prices sold off and tested appetite around $5,100/t and closed at $5,110/t. Nickel weakened the most down 2%, breaching support at $12,000/t to close at $11,955/t. Zinc and lead prices were also broke lower, closing at $1,909.5/t and $1,627/t respectively. Aluminium closed at $1,486/t and cash to 3 moth spreads weakened slightly apart from tin which tightened into $97/t.
Gold prices opened up on the back foot today but rallied this afternoon as weak economic data prompted demand for safe havens. Gold trades at $1,698/oz. Oil prices have been relatively steady today, Brent and WTI are trading at $26.10/oz and $18.92/oz.