US stocks rose today, alongside European shares, as the risk-on rally continued. US payroll increased by 428,000 in August, less than expected, suggesting that recovery to normal levels of employment will be more gradual than previously thought. The dollar rose the most in two weeks to 92.804, and the yield for the 10yr US Treasuries softened. Other economic data, such as the Beige Book, is to be released later tonight. China-India trade tensions escalated, as India banned 188 of Chinese apps.
Activity on the LME was mixed today, on the back of stronger dollar and a moderation in the US labour force employment, with only nickel and tin closing higher. Aluminium was subject to strong selling pressure, falling below the key support level of $1,790/t and closing at $1,786/t. Aluminium cash to 3-month spread widened out to -$37.00/t. Lead prices were softer, closing at $1,938/t. Zinc was supported in the first half of the day, before giving back its gains, closing on the back foot at $2,533.50/t. Nickel was supported above $15,600/t and closed near the day’s highs at $15,706/t. Copper prices remained range-bound, as tightening supplies of mined ore in conjunction with rising Chinese demand buoyed sentiment, closing marginally higher on the day at $6,697/t.
Oil futures have erased gains despite US crude stockpiles falling for the sixth week straight. At the time of writing, WTI and Brent trade at $41.63/bl and $44.58/bl. Gold and silver were lower today, trading down to $1,941.32/oz and $27.36/oz respectively.