1. Reports
  2. Daily Base Metals Report
Non-independent Research

Daily Base Metals Report

Read disclaimer

Global stocks markets fluctuated today amid vaccine hopes mixed with strengthening lockdowns across the world. New York has shut down schools, South Australia began one of its toughest lockdowns, and Japan has set the high virus alert in Tokyo. Meanwhile, a report published by IMF warns that recovery will remain bumpy and cautions economic from withdrawing stimulus prematurely. US initial jobless claimed increased by 31,000 in the week ending November 14th, the first increase in five weeks, while remaining before the pre-virus levels. The median down payment for a single-family US home has picked up in Q3, amid tightening credit standards and rising prices. The dollar strengthened up to 92.495 and the 10yr yield on US Treasuries weakened out to 0.8456%.

Activity on the LME was mixed today, with aluminium and tin closing lower. Lead was well bid but failed above $1,990/t to close at $1,978.50/t. Nickel was slightly firmer and managed to close just off the day’s highs at $15,834/t. Zinc prices were range-bound but closed on the front foot at $2,759/t. Conversely, copper was also range-bound but closed lower on the day at $7,093/t. Aluminium tested the resistance level at $1,995/t but closed lower at $1,992.50/t. Most spreads have tightened, with only nickel cash to 3-month spread widening out to -$50.00/t.

Oil futures dipped today on the back of sluggish US economic data, with WTI and Brent falling to $41.50/bl and $43.96/bl. Gold continued to drop for the fourth day in a row, as ETF funds suffered a withdrawal of under 1m this week. At the time of writing, gold and silver trade ta $1,860.66/oz and $23.90/oz respectively.  


This is a marketing communication. The information in this report is provided solely for informational purposes and should not be regarded as a recommendation to buy, sell or otherwise deal in any particular investment. Please be aware that, where any views have been expressed in this report, the author of this report may have had many, varied views over the past 12 months, including contrary views.

A large number of views are being generated at all times and these may change quickly. Any valuations or underlying assumptions made are solely based upon the author’s market knowledge and experience.

Please contact the author should you require a copy of any previous reports for comparative purposes. Furthermore, the information in this report has not been prepared in accordance with legal requirements designed to promote the independence of investment research. All information in this report is obtained from sources believed to be reliable and we make no representation as to its completeness or accuracy.

This report is not subject to any prohibition on dealing ahead of the dissemination of investment research. Accordingly, the information may have been acted upon by us for our own purposes and has not been procured for the exclusive benefit of customers. Sucden Financial believes that the information contained within this report is already in the public domain. Private customers should not invest in these products unless they are satisfied that the products are suitable for them and they have sought professional advice. Please read our full risk warnings and disclaimers.

Sign-up to get the latest Non-independent research

We will email you each time a new report has been published.

You might also be interested in...

Daily Report FX

A morning report covering fundamentals and technicals for USD, EUR, GBP, JPY, and CHF.

Weekly Report FX Options

Our FX Options Report contains commentary and analysis covering OTC currency option pricing, volatility and positioning. 

Daily Report Softs Technical Charts

Technical analysis and charts for the key sugar, cocoa and coffee contracts.

Quarterly Metals Report – Q3 2022

Our analysts provide an in-depth analysis of the metals market and current macroeconomic conditions. The environment has weakened significantly as growth fears rise amid persistent high inflation. Central banks are data-dependent, which could mean they slow rate hikes as growth starts to slow. This has meant a downside to the US 10yr yield, but also we see a downside to rate hikes in Q4. Europe will likely enter a recession before the US and take longer to recover, but material availability is significantly lower, shown by low inventories.

FX Monthly Report June 2022

Monthly commentary covering the FX markets, providing insights on recent developments on select currency pairs. This month we look into the JPY and the pressure the BOJ is under to change their monetary policy as JPY continues to weaken against major currencies. Economic data is weakening and inflation is less of a problem in Japan, but yields continue to test the cap.