US stocks climbed today after economic indicators highlighted a positive recovery outlook. US retail sales rose 1.9% m/m in September, the fastest pace in three months. Consumer sentiment also picked up in early-October to a 7-month high of 81.2, though still below the pre-pandemic levels. US manufacturing output however, showed signs of weakness, as it declined to -0.3% m/m in September, pointing to a setback in factory operations. The dollar softened out to 93.679 and the 10yr yield on US Treasuries strengthened up to 0.7406%. The pound fluctuated, as Boris Johnson stated that the nation was heading for a no-deal outcome with the EU, while still holding talks next week.
Sentiment on the LME market was mixed once again. Copper prices were softer today, testing support at $6,720/t; however, the market held above this level to close at $6,740/t. Lead prices failed into resistance at $1,755/t, and the market closed at $1,752/t. Nickel prices stayed supported above $15,400/t and closed at $15,652/t, the spread tightened slightly into -$45.00/t. Aluminium and zinc continued to move higher, closing at $1,870.50/t and $2,436/t respectively.
Oil futures slipped as virus surge poses threats to a recovery in demand. At the time of writing, WTI and Brent trade at $40.92/bl and $43.04/bl respectively. Precious metals were mixed, with gold and silver trading down to $1,901.70/oz and $24.26/oz.
