Stocks slumped today as volatility spiked on the back of President Trump's positive test for coronavirus. In the US, renewed stimulus talks remain in limbo after the House passed a Democrat-only $2.2tr package. US jobs gains moderated in September, up by 661,000, as Americans slowed down on their job search; the unemployment rate fell to 7.9%. The yen edged higher on the back of increased uncertainty to the November presidential elections. The pound gained on the news of Boris Johnson intervening in the Brexit negotiations for the first time since June.
LME metal prices were on the front foot today despite Trump's positive coronavirus test. Aluminium prices were well supported in the second half of the day and tested resistance at $1,770/t and closed just off the highs at $1,768/t. Copper was well bid, testing the resistance level of $6,580/t, before closing below at $6,553/t. SHF copper, however, was lower on the day, closing at CNY50,940/mt. Nickel closed higher on the day at $14,418/t; cash to 3m spread tightened into -$11.00/t. Zinc and tin consolidated, closing at $2,327/t and $17,815/t respectively. Lead prices weakened to close at $1,771.50/t.
Oil futures extended losses, with WTI and Brent edging down to $37.55/bl and $36.69/bl respectively. Precious metals were weaker; at the time of writing, gold and silver trade at $1,900.17/oz and $23.80/oz.
